Taxi Driver Tax Calculator 2025/26
Calculate your take-home pay as a self-employed taxi driver. See your tax, NI, and deductions for vehicle costs, licence fees, and radio circuit charges.
Common deductions for taxi drivers
These are typical expenses you may be able to claim against your taxable profit.
Vehicle running costs
Fuel, insurance, road tax, MOT, servicing, repairs, and tyres. Claim the business proportion if mixed use.
Hackney carriage or PHV licence
Local authority taxi licence, hackney carriage plate fees, and vehicle licence renewals.
Radio circuit or app fees
Fees paid to taxi radio circuits, dispatch services, or booking apps (Gett, Free Now, etc.).
Taxi meter and equipment
Meter calibration, card payment terminal rental, and in-vehicle equipment costs.
Vehicle cleaning
Regular car washes and interior valeting to maintain passenger standards.
Knowledge test and training
The Knowledge study materials (London black cab), topographical tests, and safeguarding courses.
Phone and sat nav
Business phone, sat nav device or app subscription, and data plan for dispatch apps.
Insurance — hire and reward
Specialist hire and reward insurance, which is significantly more expensive than standard motor insurance.
Yearly
£25,120
take-home
Monthly
£2,093
take-home
Weekly
£483
take-home
Deductions
Effective rate
16.27%
The actual percentage of your total income going to income tax and NI combined.Marginal rate
28%
The tax rate on your next £1 of income. Above £100k this can be 60% due to Personal Allowance tapering.Income tax bands
Where your money goes
Want a personalised breakdown from your actual bank statements?
Upload your statements and get AI-powered expense categorisation, savings identification, and a downloadable PDF report.
Try AI Tax Advisor — £9.99How much tax does a self-employed taxi driver pay in the UK?
Self-employed taxi drivers pay income tax on net profit (fares minus expenses). For 2025/26, the first £12,570 is tax-free, then 20% up to £50,270, and 40% above. Class 4 NI is 6% on profits £12,571–£50,270. Key deductions include vehicle costs, hire and reward insurance, licence fees, radio circuit charges, and meter equipment.
- Vehicle costs: fuel, insurance, servicing, repairs
- Hackney carriage or PHV licence fees
- Radio circuit and dispatch app fees
- Hire and reward insurance premiums
- Meter calibration and card terminal costs
Last reviewed:
Want a personalised tax breakdown?
Upload your bank statements and see your real tax position as a taxi driver — including vehicle costs, licence fees, and insurance.
Get Your AI Tax Report — £9.99One-time payment. No subscription. No account required.