Uber Driver Taxes in Wyoming - 2026 Guide

Updated for 2026 (Filing 2025 Taxes)

Tax Essentials for Uber Drivers in Wyoming

Navigating the wide-open roads of Wyoming as an Uber driver offers flexibility, but it also comes with tax responsibilities. As an independent contractor, earnings from Uber and other gig platforms are subject to both federal and, despite Wyoming’s tax-friendly reputation, still require diligent federal tax filing.

The IRS requires Uber drivers to report their income on Schedule C (Profit or Loss from Business) as self-employment income. This means not only income tax, but also self-employment tax – covering both Social Security and Medicare – must be considered. Failure to accurately report income and pay taxes can result in penalties and interest.

How Wyoming Handles Gig Worker Taxes

Wyoming is known for its favorable tax climate, and notably, the state does not have a state income tax. This means Uber drivers in Wyoming won’t file a state income tax return. However, this does not exempt drivers from federal tax obligations. All income earned through Uber is subject to federal income tax and self-employment tax. The lack of state income tax can be a significant benefit, allowing drivers to retain a larger portion of their earnings, but it underscores the importance of accurate federal tax reporting. Wyoming’s economy is heavily reliant on industries like tourism and energy, and the gig economy, including rideshare services, plays an increasing role in providing transportation options, particularly in areas with limited public transit. Drivers should maintain meticulous records of mileage and expenses, as these are crucial for maximizing deductions and minimizing their federal tax liability. The Wyoming Department of Revenue provides resources for businesses, even though income tax isn’t a concern for gig workers; understanding general business tax principles is still beneficial. You can find more information at the Wyoming Department of Revenue website: https://revenue.wyo.gov/

Top Tax Deductions for Wyoming Drivers

• Standard Mileage: The most popular and often simplest deduction. For the 2025 tax year, the standard mileage rate is 70 cents per mile. Given Wyoming’s vast distances and potentially significant mileage driven, this deduction can substantially reduce taxable income.
• Tolls & Parking: While Wyoming doesn’t have extensive toll roads, any tolls incurred while driving for Uber (even if outside of Wyoming) are deductible. Parking fees directly related to rideshare activities are also deductible.
• Phone & Data Plan: The portion of your cell phone and data plan used for Uber driving is deductible. Keep records of your total bill and estimate the percentage of business use.
• Vehicle-Related Costs: Expenses like car washes, phone mounts, dash cams, first-aid kits, and insulated food bags used for deliveries are deductible. Keep receipts for these items.

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.

Understanding the 15.3% Self-Employment Tax

As an Uber driver, platforms like Uber do not withhold taxes for you. The 15.3% self-employment tax covers Social Security and Medicare taxes. This is in addition to your regular income tax liability. You’ll calculate this tax on your net earnings (income minus business expenses) exceeding $400.