DoorDash Driver Taxes in Canada 2025

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A complete tax guide for Canadian Dashers — from income reporting to vehicle deductions and HST registration.

DoorDash Tax Rule: DoorDash delivery is classified as general courier/delivery service — not ridesharing. The standard $30,000 HST/GST small supplier threshold applies. You do not need to register for HST until you exceed $30,000 in total taxable self-employment revenue.

Are DoorDash Earnings Taxable in Canada?

Yes. All DoorDash income — base pay, tips, promotions, and peak pay — is taxable self-employment income. DoorDash does not withhold income tax or CPP from your earnings. You receive the full amount and must set aside funds for taxes yourself.

DoorDash issues a T4A slip if you earn more than $500 from them in a calendar year, but you must report all income regardless of whether a T4A is issued.

HST/GST Registration Threshold

Unlike rideshare drivers, DoorDash couriers use the standard small supplier threshold: you must register for HST/GST when your total taxable self-employment revenue exceeds $30,000 over four consecutive calendar quarters or in any single quarter.

If you also do ridesharing (Uber/Lyft), those revenues count toward the $30,000 limit. Once registered, you collect and remit HST on all delivery income.

Vehicle Deductions for Dashers

Whether you deliver by car, bike, or scooter, you can deduct vehicle costs. The two CRA-accepted methods:

Method	Best For
Per-km rate (70¢ first 5,000 km; 64¢ after)	Lower mileage, simpler record-keeping
Actual vehicle costs × business-use %	High mileage or expensive vehicle

For cyclists: you can claim a per-km rate or actual bike maintenance costs. Keep a log of all delivery kilometres.

Full List of DoorDash Deductions

Vehicle expenses (gas, insurance, maintenance, CCA)
Insulated delivery bags and equipment
Cell phone — business-use percentage
Data plan — business-use percentage
Phone mount and accessories
Red lights and parking fees while on delivery
Bank fees for business account
Accounting and tax prep fees
Home office — if you use a dedicated space for managing orders and tracking income

DoorDash Tax Estimator

Annual DoorDash gross earnings ($): Delivery kilometres driven: Other deductible expenses ($): Other income (employment, etc.) ($):

T2125 for DoorDash Drivers

File Form T2125 with your T1. Business activity: "Courier / Delivery Driver." Gross income = all DoorDash earnings (base pay + tips + bonuses). After deducting expenses, report net income on line 13500 of your T1. CPP is calculated on Schedule 8.

Setting Aside Money for Taxes

Practical Rule: Set aside 25–30% of every DoorDash payment into a separate account. This covers income tax, CPP, and any HST you may owe once you cross $30,000.

If you use KOHO, you can set up a savings goal specifically for taxes and automate the transfer from your main account after each payout.

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Informational only. Not tax or legal advice. Consult a CPA for your specific situation.