East Midlands

Tax Guide for Taxi Drivers in Nottingham

Everything you need to know about tax, licensing, and expenses as a taxi driver in Nottingham. Maximise your deductions and keep more of what you earn.

Average Annual Earnings

£23,000 - £33,000

Average Annual Mileage

17,000 - 25,000 miles

Licensing Authority

Nottingham City Council

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Tax Estimate

Example Tax Calculation for Nottingham

Based on average Nottingham taxi driver earnings and mileage

Gross Income£28,000
Estimated Expenses- £7,000
Mileage Allowance (21,000 miles)- £7,250
Taxable Profit£13,750
Income Tax- £236
Class 4 National Insurance- £71
Estimated Take-Home£27,693

Total estimated tax: £307 - This is an estimate based on 2026-2027 tax rates and average figures. Your actual tax will depend on your specific income and expenses. Use Fyled's tax calculator for a personalised calculation.

Local Tips

Tax Tips for Nottingham Drivers

1

Nottingham's Workplace Parking Levy does not apply to taxis picking up or dropping off passengers

2

East Midlands Airport transfers are popular and all associated costs are deductible

3

The two universities and the QMC hospital generate consistent demand

4

Trent Bridge cricket and Nottingham Forest matchdays create peak periods

FAQ

Frequently Asked Questions

Common tax questions from Nottingham taxi drivers

Does the Workplace Parking Levy affect taxi drivers?

The WPL is charged to employers, not taxi drivers directly. If you park at a business premises as part of your work, you would not be charged. Taxi rank and public parking charges are separate and deductible.

How much do taxi drivers in Nottingham earn?

Drivers in Nottingham typically earn between £23,000 and £33,000 gross per year. Those covering East Midlands Airport and working evening shifts tend to earn at the higher end.

Can I claim East Midlands Airport parking?

Yes. Parking charges at EMA while waiting for or collecting passengers are deductible business expenses. Use the official taxi waiting area for lower charges.

File Your Tax Return from Nottingham

Join thousands of Nottingham taxi drivers who use Fyled to track expenses, calculate tax, and file with HMRC - all from their phone.