UberEATS and other contract work
I've heard you must file taxes 4 times/year if you're doing contract work. How does filing work with platforms like Uber? Also, if I start a contract job this year, when is the next time I'll have to file taxes? Thanks!
Edit: For reference, I'm in California.
Answers
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Hi,
As far as reporting contract work or Uber (which counts as self employment), you only need to file a return yearly (when you include it on your personal return on a Schedule C). However, since no taxes are being withheld and you will owe income taxes and social security/medicare taxes on the return, it is a good idea to pay quarterly estimated taxes to eliminate underpayment penalties at the end of the year. You would pay those quarterly payments on a 1040ES form. Payments would be made April 15, June 15, September 15, and January 15.
If you have any additional questions, please let us know.
Thank you.
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Hello,
You only need to file you tax return yearly. In the upcoming tax year, taxpayers will be required to file a tax return which will include the information about your 2024 income. The deadline to file the 2024 return is April 15th, 2025. So, if you started you started driving for Uber in 2024, you will report the income/expenses related to that work on your upcoming tax return.
Within the first month of 2025, you should be receiving a 1099-NEC from Uber which will give you information about the income that you earned throughout 2024.
I believe you are referring to estimated tax payments. Setting up estimated tax payments is a method that self-employed individuals will use to cover their tax liability at the end of the year. If you don't pay enough through withholding or estimated tax payments, the IRS may charge you a penalty.
You generally have to make estimated tax payments if you expect to owe tax of $1,000 or more when you file your return. You can use Form 1040-ES to figure and pay your estimated tax. For more information about this, you can refer to Publication 505.
