Grubhub Driver Tax Guide 2025: What You Can Deduct

Delivering for Grubhub puts cash in your pocket every week, but like all gig platforms, Grubhub doesn’t withhold taxes from your pay. You’re an independent contractor — which means the tax bill is yours to handle. The upside: Grubhub drivers can claim significant deductions that reduce how much you actually owe.

This guide covers what tax forms Grubhub sends, which expenses to deduct, how to handle mileage tracking, and when to send quarterly payments to the IRS.


1. Your Tax Status

Grubhub classifies all drivers as independent contractors. You’ll receive a 1099-NEC if you earned $600 or more in a calendar year. You file using Schedule C. You owe self-employment tax (15.3%) on your net profit. You must file if your net self-employment earnings exceed $400.


2. What Tax Forms Will Grubhub Send?

Grubhub issues 1099-NEC forms for drivers who earn $600 or more. Access your form through the Grubhub for Drivers app or the driver portal by January 31. If you earned under $600, no form arrives — but you must still report the income.

Grubhub may also issue a separate 1099 for referral bonuses or promotional earnings over $600.


3. Mileage: Your Largest Deduction

The 2025 IRS standard mileage rate is $0.70 per mile. For Grubhub drivers, mileage is almost always the single largest deduction.

Deductible miles include driving to the restaurant, delivering to the customer, and driving between deliveries. Miles commuting from home to your first pickup are not deductible unless you qualify for the home office deduction.

Example: 14,000 business miles × $0.70 = $9,800 deduction.

Grubhub does not provide mileage tracking. You must use a separate app like Stride, Everlance, or MileIQ.


4. Other Deductible Expenses

You can deduct these in addition to mileage (if using the standard mileage rate):

  • Hot bags and delivery equipment — 100% deductible
  • Phone and data plan — business-use percentage
  • Phone accessories — car mount, charger, cables
  • Tolls and parking — while actively delivering
  • Roadside assistance — business-use percentage
  • Mileage tracking app subscription
  • Health insurance premiums — 100% deductible if self-employed
  • Car loan interest — business-use percentage, even with standard mileage

5. How to File

Download your 1099-NEC from the Grubhub driver portal. Total your deductions. Report gross income on Schedule C Line 1. Mileage goes on Line 9, supplies on Line 22, phone on Line 25. Net profit on Line 31. Then Schedule SE: net profit × 92.35% × 15.3%.

Multi-app drivers combining Grubhub with DoorDash, Uber Eats, or other platforms can use a single Schedule C.

For step-by-step filing instructions and a full list of deductions, see our main Rideshare Driver Tax Guide.


6. Quarterly Taxes

Grubhub does not withhold taxes. Pay quarterly estimated tax if you expect to owe $1,000 or more. 2025 deadlines: April 15, June 16, September 15, January 15. Set aside 25–30% of net earnings. Use our Quarterly Tax Calculator for a precise estimate.


7. Common Grubhub Tax Mistakes

  1. Not tracking mileage — Grubhub doesn’t track it for you. Start today.
  2. Thinking under $600 means no tax — all income is taxable.
  3. Forgetting self-employment tax — 15.3% on top of income tax.
  4. Missing quarterly payment deadlines.
  5. Not deducting equipment — hot bags and phone mounts are deductible.

Not sure which mileage tracking app to use? Compare Stride, Everlance, MileIQ, Gridwise, and Hurdlr.

Disclaimer: This guide is for informational purposes only and does not constitute tax advice. Tax laws change frequently. Consult a qualified CPA or tax professional for advice specific to your situation.

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