Expense Category Guide

Can Taxi Drivers Claim Other Business Expenses?

Beyond the main categories, there are numerous smaller expenses that taxi drivers can legitimately claim. They may be small individually but add up over the year.

Yes - other business expenses is an allowable business expense for UK taxi and private hire drivers.

What You Can Claim

  • Stationery and printing costs
  • Postage and courier fees
  • Trade union or association membership fees
  • Professional subscriptions and trade publications
  • Dashcam purchase and SD cards
  • High-visibility vest and safety equipment
  • Small tools and equipment
  • Working from home allowance (if applicable)
  • Bottled water and mints for passengers (customer service items)

What You Cannot Claim

  • Food and drink for yourself during the working day
  • Clothing without business branding
  • Expenses for personal hobbies or interests
  • Gifts to family members
  • Entertainment expenses (meals with friends)

Typical Annual Range

£100 - £500 per year

Average annual spend by UK taxi drivers on other business expenses. Your actual costs may vary depending on location, hours worked, and vehicle type.

HMRC Rules

Any expense incurred 'wholly and exclusively' for the purpose of your taxi business is deductible. The expense must be revenue in nature (not capital) and must be for business, not personal purposes. When in doubt, apply the 'wholly and exclusively' test: would you have incurred this expense if you were not running your taxi business?

Pro Tips

Maximise Your Other Business Expenses Deductions

1

Keep a small notebook or use Fyled to record miscellaneous expenses throughout the year

2

Small daily expenses (parking, water, cleaning) add up to significant annual deductions

3

A dashcam is both a safety device and a tax-deductible business expense

4

The flat rate working from home allowance is 6 per week without needing receipts

FAQ

Frequently Asked Questions

Common questions about claiming other business expenses on your tax return

Can I claim for food and drink while working?

Generally no. HMRC considers eating a basic human necessity, not a business expense. However, if you are on a business trip away from your normal working area overnight, meal costs become deductible.

Is a dashcam tax-deductible?

Yes. A dashcam used in your taxi is a business expense. If it costs under 1,000, it can be claimed as a revenue expense in the year of purchase.

Can I claim the flat-rate working from home allowance?

If you do administrative work from home (bookkeeping, scheduling, managing bookings), you can claim 6 per week (312 per year) without needing to provide receipts.

Are union fees deductible?

Yes. Membership fees for trade unions, taxi associations, or professional bodies related to your taxi business are fully deductible.

Can I claim for providing water and mints to passengers?

Yes. Items provided to passengers as part of your service are deductible business expenses under customer service costs.

Track Your Other Business Expenses Expenses Automatically

Fyled makes it easy to record, categorise, and claim all your taxi expenses. See exactly how much tax you will save.