No doubt, as an Uber or Lyft driver you can make decent amount of money. Moreover since July 2017 Uber start collecting HST on every ride, and added to total fare. So as a ride-share driver we are collecting HST on every ride, furthermore Lyft also give HST on bonus amounts.
Therefore our weekly earnings included the HST/GST amount. These sales tax amount that we collect, we are required to remit CRA annually or quarterly. Mostly drivers report annually with their tax returns.
What you need to know
Uber or Lyft driver must know the following basic things:
- You are working as an Independent Contractor
- You are collecting HST on every ride
- You are obliged to report & remit CRA
- You can deduct expenses