DoorDash Dasher Taxes in Boston, Massachusetts - 2026

Updated for 2026 (Filing 2025 Taxes)

Tax Essentials for DoorDash Dashers in Boston, Massachusetts

Navigating the historic streets of Boston as a DoorDash Dasher offers flexibility, but also brings tax responsibilities. Delivering from North End pizzerias to Fenway Park requires more than just a good sense of direction; it requires understanding how your earnings are taxed.

As a DoorDash driver, you are considered an independent contractor by the IRS. This means you’ll report your income on Schedule C (Profit or Loss from Business) with your Form 1040, and you are responsible for paying self-employment taxes – both Social Security and Medicare – on your net earnings. The IRS requires reporting income over $400.

How Massachusetts Handles Gig Worker Taxes

As a resident of Massachusetts, you are required to file a state income tax return, even if your only income is from DoorDash. Massachusetts utilizes a flat income tax rate, currently at 5.0%, for the 2025 tax year. This means all taxable income is taxed at the same rate. DoorDash income is considered taxable income and must be reported. The primary form for self-employed individuals to report income and calculate tax liability is Form 1 (Massachusetts Form 1, Income Tax Return). You will need to include Schedule C with your Form 1 to detail your business income and expenses.

Massachusetts also requires estimated tax payments if you expect to owe $1,000 or more in state taxes. Since DoorDash doesn’t withhold state income tax, it’s crucial to make quarterly estimated tax payments to avoid penalties. These payments are due April 15, June 15, September 15, and January 15 of the following year. Working in a densely populated city like Boston can mean higher earnings, increasing the likelihood of needing to make estimated payments. Be mindful of parking regulations and potential parking expenses, as these can impact your net earnings and tax liability. The Massachusetts Department of Revenue provides detailed information and resources for self-employed individuals; you can find more information at Massachusetts Department of Revenue.

Top Tax Deductions for Boston, Massachusetts Drivers

• Standard Mileage: The #1 deduction. The 2025 rate is 70 cents per mile. Boston’s traffic and the distances between deliveries make tracking mileage particularly important.
• Tolls & Parking: Boston and surrounding areas have tolls on major roadways. Keep detailed records of all toll expenses and parking fees incurred while actively dashing.
• Phone & Data Plan: The percentage of your phone and data plan used for DoorDash deliveries is deductible. If you use your phone 70% for DoorDash, you can deduct 70% of the bill.
• Vehicle-Related Costs: Expenses like car washes (to maintain a professional appearance), phone mounts, and insulated food bags are deductible.

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

The 15.3% self-employment tax covers both Social Security and Medicare taxes. Unlike traditional employment, DoorDash and other gig platforms do not withhold these taxes from your earnings. Therefore, it’s your responsibility to calculate and pay this tax when you file your federal income tax return.