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Tax Liabilities for Rideshare Drivers

Question: I am a driver for a rideshare service such as Uber or Lyft.  Do I have to register with the City of Los Angeles?

Answer: Per California State Senate Bill 182, drivers for rideshare services need only register and pay taxes within the city they reside and if they drove more than 30 days the prior calendar year.  If you reside within the City of Los Angeles, and are a driver for a rideshare services, and drove for more than 30 days the prior calendar year then you would need to register with the City.  If you reside outside of Los Angeles city limits, then you are not required to register with the City of Los Angeles.


Question: How may I register with the City of Los Angeles? 

Answer: You can register on-line at https://latax.lacity.org/businessregapp/eappreg_criteria or by visiting one of our service centers listed at http://finance.lacity.org/locationshours.


Question: I am currently registered with the City of Los Angeles but reside outside of city limits.  Do I need to complete my annual 2018 business tax renewal or request for cancellation of my account?

Answer: If you are a rideshare driver currently registered with the City of Los Angeles, and reside outside of the city, you do not need to submit your 2018 renewal or notify us to cancel your account.  The Office of Finance will cancel your business tax classification related to rideshare services and eliminate any associated 2018 business tax year liabilities.


Question: Do I need to pay an annual fee or tax as a driver for a rideshare service?

Answer: Per California State Senate Bill 182 drivers that provide rideshare services for more than 30 days during the prior year will be subject to local taxes within the city that they reside. 


Question: I am currently registered with the City of Los Angeles and reside within the City limits. How do I complete the annual business tax renewal?

Answer: Registered drivers will be sent an annual renewal form or notification card late-December each year to complete their renewal by February 28 of the upcoming year.  A renewal form may be completed and mailed in or the online renewal can be completed here:

Online Renewal for Rideshare

 

Note: Special Filing Instructions for 2018 Business Tax Filing

If you provided rideshare services for less than 31 days in 2017 please indicate 0 (Zero) as the number of days on your mail-in form or when prompted if using on-line renewals and remit no payment for your 2018 business tax related to rideshare services.  Future year renewal processes will be corrected to reflect no payment due when the number of days specified is less than 31. 

If you provided rideshare services for more than 30 days in 2017, please follow the filing instructions on the transporting persons for hire tax worksheet.


Question: I reside outside of the City of Los Angeles or provided rideshare services for less than 31 days in 2017 but had already submitted and paid my 2018 business tax renewal per the rules in place prior to the changes enacted by California State Senate Bill 182.  Can I have my payment refunded?                   

Answer: The City will contact all drivers that had paid ridesharing tax liabilities for tax year 2018 but reside outside of city limits or reported less than 31 days of activity and provide instructions for obtaining a refund.