Tax for Couriers Australia
This page is for couriers and delivery drivers—including gig-platform riders—who want a clearer starting point on common deductions, vehicle costs, GST obligations, and record-keeping requirements.
Quick answer: couriers can often claim significant vehicle-related expenses since the vehicle is central to earning income. Fuel, insurance, registration, tolls, maintenance, and depreciation are commonly deductible to the work-related extent. Most couriers operate as sole traders (including gig-platform workers), so ABN and potentially GST obligations apply. The ATO is closely watching the gig economy, so accurate records are essential.
Common courier deductions
Often deductible
- Vehicle running costs: fuel, oil, tyres, servicing, and repairs (work portion)
- Vehicle insurance, registration, and roadside assistance (work portion)
- Depreciation on the delivery vehicle (work portion)
- Tolls and parking incurred during deliveries
- Thermal bags, insulated containers, and delivery equipment
- Phone, data plan, and phone mount used for delivery apps
- Bicycle or e-bike maintenance and depreciation (for cycling couriers)
- Public liability insurance premiums
Often non-deductible
- Private use of the vehicle (must be apportioned out via logbook)
- Fines and penalties (including traffic and parking fines)
- Meals unless travelling overnight for work
- Ordinary clothing worn during deliveries
- Personal phone calls and non-work app subscriptions
GST and gig-platform record keeping
- ABN obligations: sole trader couriers (including gig-platform workers) need an ABN and must lodge a tax return reporting all delivery income.
- GST registration: mandatory once annual turnover reaches $75,000. Below that threshold, registration is optional.
- Platform income statements: gig platforms issue payment summaries or income statements. Cross-check these against your own records each year.
- Vehicle logbook: keep a logbook for at least 12 continuous weeks to establish your work-use percentage. This is the ATO's preferred method for couriers.
- BAS lodgement: if GST-registered, you must lodge Business Activity Statements (monthly or quarterly) and remit GST collected.
Records couriers should keep
- Vehicle logbook showing work-related kilometres and delivery routes
- Receipts for fuel, servicing, insurance, registration, tolls, and vehicle repairs
- Platform payment summaries and your own income tracking records
- Receipts for thermal bags, phone mounts, and delivery equipment
- Phone and data usage records where a work portion is claimed
Detailed deductions breakdown
For a longer walkthrough of courier deduction rules with ATO benchmarks and common over-claim areas, read the full deduction guide.
Start with these calculators
Tax return calculator
Estimate the refund impact of your eligible work-related deductions.
GST calculator
Work out GST-inclusive and GST-exclusive amounts for invoicing.
Pay calculator
Check take-home pay for weekly, fortnightly, monthly, or annual salary.
Salary sacrifice calculator
Model concessional super contributions against take-home pay.
Courier tax FAQs
Can couriers claim vehicle expenses?
Generally yes for the work-related portion. Fuel, insurance, registration, tolls, maintenance, and depreciation are deductible based on your logbook work-use percentage. Private use must be excluded.
Do gig-platform couriers need to register for GST?
Sole trader couriers (including gig-platform workers) must register for GST once annual turnover reaches $75,000. Below that threshold, registration is optional. Accurate income records are essential.
Can couriers claim thermal bags and delivery equipment?
Yes. Thermal bags, insulated containers, phone mounts, and other delivery equipment are generally deductible where you pay for them yourself and use them for work. Items costing $300 or less can be claimed immediately.
Tax Accuracy & Sources
This guide summarises common courier and delivery driver deduction patterns only. Always check whether the expense was reimbursed, whether any private element needs apportionment, and whether the vehicle or GST claim meets ATO requirements.
Uses 2025-26 ATO rates.