TaskRabbit Taxes in Louisiana - 2026 Guide

Updated for 2026 (Filing 2025 Taxes)

Tax Essentials for TaskRabbits in Louisiana

From assembling furniture in the French Quarter to running errands across Baton Rouge, being a TaskRabbit in Louisiana offers flexibility and income. However, that income comes with tax responsibilities. As an independent contractor, you're considered self-employed by the IRS, meaning you're responsible for reporting all earnings and paying applicable taxes.

The IRS requires all self-employed individuals, including TaskRabbits, to report income and expenses on Schedule C (Profit or Loss From Business) when filing Form 1040. Crucially, income over $400 requires the payment of self-employment taxes, covering both Social Security and Medicare, which are not automatically withheld from your TaskRabbit earnings. Proper record-keeping throughout the year is essential for accurate tax filing.

How Louisiana Handles Gig Worker Taxes

As a resident of Louisiana, filing a state income tax return is required, even if no state income tax is due. Louisiana operates under 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 Louisiana Form IT-540B, Individual Income Tax Return for Self-Employment Income, to report their earnings and calculate their state income tax liability. Louisiana also allows for deductions similar to the federal level, potentially reducing your overall tax burden. It's important to note that Louisiana's tax brackets and rates are subject to change, so staying updated with the latest information from the Louisiana Department of Revenue is crucial. Additionally, Louisiana offers various credits and incentives that may be applicable to self-employed individuals; exploring these options can lead to further tax savings. Remember to accurately report all income received through the TaskRabbit platform, as the state may receive copies of your 1099-NEC forms. Failure to file and pay state taxes on time can result in penalties and interest charges. For the most current information and forms, please visit the Louisiana Department of Revenue website: https://www.revenue.louisiana.gov/

Top Tax Deductions for Louisiana Drivers

• Standard Mileage: The most popular deduction for TaskRabbits. The 2025 rate is 70 cents per mile. Given Louisiana's relatively moderate gas prices compared to states like California, the standard mileage rate is often a very advantageous option.
• Tolls & Parking: Louisiana has various toll bridges and parking fees, particularly in New Orleans and Baton Rouge. Keep detailed records of all toll expenses and parking fees incurred while performing TaskRabbit tasks.
• Phone & Data Plan: If you use your phone for scheduling tasks, communicating with clients, or navigating, you can deduct the percentage of your monthly bill attributable to business use.
• Vehicle-Related Costs: Expenses like car washes to maintain a professional appearance, phone mounts for safe navigation, or insulated bags for delivering groceries are all potentially deductible business expenses.

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

Understanding the 15.3% Self-Employment Tax

This tax covers both Social Security and Medicare taxes. Unlike traditional employment where your employer withholds these taxes, as a TaskRabbit, you are responsible for paying both the employer and employee portions, totaling 15.3% on net earnings exceeding $400. This is a significant tax liability, so planning and setting aside funds throughout the year is highly recommended.