Updated for 2026 (Filing 2025 Taxes)
Navigating the bustling streets of Atlanta, Savannah, or Augusta as a DoorDash Dasher offers flexibility, but also brings tax responsibilities. As an independent contractor, earnings from DoorDash are considered self-employment income, requiring diligent record-keeping and accurate tax filing.
The IRS requires all DoorDash Dashers to report their income on Schedule C (Profit or Loss from Business) with Form 1040. Furthermore, because no taxes are withheld from your DoorDash payments, Dashers are responsible for paying self-employment taxes, which cover both Social Security and Medicare. Failure to properly report income and pay taxes can result in penalties and interest.
As a resident of Georgia, a state income tax return is required, even if your federal tax liability is zero. Georgia operates under a flat income tax rate, currently at 5.49% for the 2025 tax year. This means all taxable income, regardless of the amount, is taxed at the same rate. DoorDash income is considered taxable income and must be reported on Form 540, the Georgia Individual Income Tax Return. Self-employment income reported on your federal Schedule C flows to your Georgia return. Georgia also allows for a standard deduction, which can reduce your taxable income. It's crucial to accurately calculate your net profit from DoorDash (total earnings minus deductible business expenses) to determine your Georgia tax liability. Georgia does not offer a specific deduction for the federal self-employment tax paid, but it is deductible when calculating your adjusted gross income on the federal return, which then impacts your Georgia taxable income. Keep detailed records of all income and expenses to ensure accurate reporting and maximize potential deductions. Georgia’s Department of Revenue provides resources and information for self-employed individuals; you can find more details at the Georgia Department of Revenue website.
Key Warning: You cannot deduct both the standard mileage rate and actual car expenses (like gas, oil changes, repairs, insurance) in the same tax year. Choose the method that yields the larger deduction.
This tax comprises two components: 12.4% for Social Security and 2.9% for Medicare. Unlike traditional employment where your employer withholds these taxes, as a DoorDash Dasher, you are responsible for paying both the employer and employee portions. This tax is calculated on your net earnings (income after deductions) exceeding $400. You’ll use Schedule SE (Self-Employment Tax) to calculate this amount when filing your federal taxes.
Estimate your taxes using current IRS rules.
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*Disclaimer: This is a simplified estimate. Includes SE Tax, State Tax, and QBI Deduction impact. Consult a CPA.
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