Save Some $$$ - Tax Deductions For Bike Delivery Riders  

Zygg knows that ebike delivery riders work tirelessly through all seasons - in the rain, hot sun, wind and snow. Wouldn’t it be great if you could make back some of that hard-earned cash on this year’s Canadian Income Tax? Zygg has some welcome information and links for you:

For tax purposes, you can deduct your expenses, including bike rental, accessories, AND some money for food. For example, Foot and Bike / Ebike Couriers can deduct $2.88/hour of work for extra food. Food and water are considered to be “fuel”, so it is treated as such.

The details of what is eligible for deductions can be found here at the Canada Revenue site.

Here is some more key information for you: 

Self-employed foot and bicycle couriers and rickshaw drivers can deduct the cost of the extra food and beverages they must consume in a normal working day (8 hours) because of the nature of their work.

The daily flat rate that can be claimed is $23.

If you are claiming this deduction, you should be prepared to provide logbooks showing the days worked and the hours worked on each of these days during the tax year. The CRA may also ask for dispatch slips or other documents to support the days worked during the tax year.

If you want to claim more than the flat-rate amount, the CRA will also need all the following items:

  • supporting receipts for all food and beverages claimed

  • a document that clearly shows the extra amount of food and beverages required because of the nature of your work, and how this amount exceeds what the average person would consume in terms of both cost and quantity

If you choose to file your Canadian taxes as a bike delivery rider via an online Tax Software Platform, you should file as a “self-employed” worker. In that category, programs like TurboTax can answer questions and even guide you through your allowable deductions! Read their forum on Bike Delivery Deductions. Revenue Canada’s online filing system will also assist you in this process, however, you must set up an online profile & account with Revenue Canada first. 

If you are new to Canada, Revenue Canada offers extra support for newcomers. They will even direct you to a free tax filing clinic in your community. 

To access the necessary information from Zygg about your ebike subscription, including dates and amounts paid, here are the correct steps to take: 

  • Under  the tab “ORDERS” you will see all your previous orders from Zygg ebikes. 

  • You would have also received an email from Zygg each time an order went through.

If you still require help, don’t be shy. There are many resources available to you, including from the Toronto Public Library system. Check out who is here to help, from The City of Toronto Site.

For Vancouverites who may be joining the Zygg Ebike delivery community, soon: if you need help with your 2021 taxes, there is a similar program via The Vancouver Public Library system.

Remember, if you can make it through this winter on a bike, you will find “Tax Season” to be a breeze!