TaskRabbit Taxes in Connecticut - 2026 Guide

Updated for 2026 (Filing 2025 Taxes)

Tax Essentials for TaskRabbits in Connecticut

From assembling furniture in New Haven to running errands in Stamford, TaskRabbit provides flexible income opportunities throughout the Constitution State. However, that income is subject to both federal and Connecticut state taxes, requiring careful planning and record-keeping.

As a TaskRabbit, you are considered an independent contractor. This means you’ll report your earnings on Schedule C (Profit or Loss from Business) with your federal income tax return (Form 1040). Crucially, independent contractors are responsible for paying self-employment tax, which covers both Social Security and Medicare taxes, as these are not automatically withheld from your earnings by TaskRabbit or any other platform.

How Connecticut Handles Gig Worker Taxes

Connecticut residents are required to file a state income tax return if their gross income exceeds certain thresholds. Connecticut operates on a graduated income tax system, meaning the tax rate increases as your income rises. For the 2025 tax year, self-employed individuals will primarily use Form CT-1040, Connecticut Resident Income Tax Return, to report their income and calculate their state tax liability. The income reported on your federal Schedule C will flow to your CT-1040. Connecticut also requires you to pay estimated taxes quarterly if you expect to owe $1,000 or more in state income tax. Failure to do so can result in penalties. Connecticut’s Department of Revenue Services (DRS) offers resources and tools to help you understand your obligations, including information on estimated tax payments and available credits. It’s important to note that Connecticut does not have a separate self-employment tax like the federal government; your self-employment income is simply included in your overall adjusted gross income for state income tax purposes. Keep detailed records of all income and expenses to accurately calculate your Connecticut tax liability. The DRS website provides detailed instructions and forms for filing your state income tax return.

You can find more information and resources on the Connecticut Department of Revenue Services website: https://portal.ct.gov/DRS

Top Tax Deductions for Connecticut Drivers

• Standard Mileage: The #1 deduction for TaskRabbits. The 2025 rate is 70 cents per mile. Given Connecticut’s relatively high cost of living, and potential for traffic congestion leading to more miles driven, the standard mileage rate is often the most beneficial option.
• Tolls & Parking: Connecticut has toll roads, particularly on I-95. Keep meticulous records of all toll expenses and parking fees incurred while performing TaskRabbit tasks. These are deductible in addition to the standard mileage rate.
• Phone & Data Plan: If you use your phone for TaskRabbit-related communication, scheduling, or navigation, you can deduct the percentage of your monthly bill attributable to business use.
• Vehicle-Related Costs: Consider expenses like car cleaning supplies (to maintain a professional appearance), phone mounts for safe navigation, or insulated bags for food delivery tasks.

Key Warning: You cannot deduct both the standard mileage rate and actual car expenses like gas or repairs in the same year. Choose the method that yields the larger deduction.

Understanding the 15.3% Self-Employment Tax

This tax comprises two components: 12.4% for Social Security and 2.9% for Medicare. Because TaskRabbit and similar platforms do not withhold these taxes from your earnings, it’s your responsibility to calculate and pay them, typically through estimated tax payments made quarterly to the IRS. The 15.3% applies to your net earnings – your total TaskRabbit income minus your business expenses (as reported on Schedule C) – exceeding $400.