Amazon Flex Mileage Tax Deduction and Filing Explained

Whether you’re full-time or part-time, Amazon Flex has its share of ups and downs.

The main pull of Amazon Flex is that you’re practically self-employed—which means you decide when you drive, giving you full control over the hours you spend on deliveries.

Despite its appeal, the biggest downside for most Amazon Flex drivers is reporting on their federal income tax and calculating tax write offs at the end of the year.

Since Amazon Flex drivers are considered independent contractors, tax season can be rough sailing.

That’s why, in this guide, we’ll cover what you need to know about the Amazon Flex mileage deduction, reducing your taxable income, and using Shoeboxed to track your miles and expenses.

Does Amazon Flex track mileage?

Amazon Flex homepage

The Amazon Flex app does not track the miles that drivers spend on deliveries, and you won’t get your mileage at the end of the year to report on your tax return.

In short, you’ll have to track the miles yourself with a separate mileage tracker app so you have a clear record of the miles you traveled when it comes time to report your Amazon Flex income.

See also: Shoeboxed vs. QuickBooks Mileage Tracker: Navigating the Race

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Can I write off mileage for Amazon Flex?

You can deduct the standard tax mileage rate from your federal income taxes for the miles you drive for Amazon Flex.

The only miles you can’t deduct are the ones you drive from the Amazon warehouse to your home (and vice versa).

What tax deductions can I claim for Amazon Flex?

Great, you can deduct mileage! (But it can’t be the only tax write off you can claim, can it?)

Actually, there are multiple deductions that you could potentially claim on your Amazon Flex taxes.

Here’s a list of possible write-offs to take advantage of:*

• Gas (deduct using: Schedule C, Box 9)

• Dolly (deduct using: Schedule C, Box 22)

• Courier bags (deduct using: Schedule C, Box 22)

• Tolls and parking (deduct using: Schedule C, Box 27a)

• Phone bill or accessories you use for work (deduct using: Schedule C, Box 27a)

• Uniforms or high-visibility gear (deduct using: Schedule C, Box 27a)

• Car expenses such as maintenance, car insurance, and even roadside assistance (deduct using: Schedule C, Box 9, and Box 15)

*For your information only. Consult with a tax professional for advice specific to your situation.

How to file taxes as an Amazon Flex delivery driver

When it comes time to pay taxes, it can be overwhelming trying to find which tax forms you need to report your delivery income.

This section will cover how to file your self employment tax and record all of your tax write offs.

1. Obtain a 1099-NEC from Amazon Flex

Tax form 1099-NEC, the IRS

The tax form 1099-NEC, or “nonemployee compensation” form, is used to report the money you earned as a contractor driving for Amazon Flex for the year.

If you’ve earned $600 or more driving for Amazon Flex, you will get a 1099-NEC and can access it at taxcentral.amazon.com.

I didn’t get a 1099-NEC from Amazon. Now what?

The only reason you wouldn’t get a 1099-NEC is if you’ve earned less than $600 in the previous year driving for Amazon Flex.

Regardless, you must report your income on your own by using Schedule C on your personal tax return.

It may seem like a daunting task, but tax prep isn’t that scary, even if you don’t get a 1099. 

Just revisit your bank statements and calculate your estimated tax payments from there.

2. Fill out Schedule C for deductions

Now for the fun part—deducting business-related expenses from your taxable income.

Unlike your 1099, you’ll have to put in the work with your Schedule C. 

Amazon Flex drivers can use this form to calculate tax write offs and deduct them from their gross income.

According to KeeperTax, “You should only ever pay taxes on your net business income—the amount you have left after subtracting all your expenses.”

This is where you can take advantage of the tax write offs available to Amazon drivers and reduce the money you owe to the government.

3. Fill out a Schedule SE

2022’s Schedule SE, the IRS

Because you’re technically self-employed while driving for Amazon Flex, you’ll need to fill out a Schedule SE in order to determine the self-employment tax you owe to the government.

To learn more about Schedule SE and self-employment tax, visit the IRS website.

4. Attach Schedule C and Schedule SE to your 1040

After filling out Schedule C and SE, attach them to your 1040.

NOTE: Consult a tax professional or report your income through tax software, such as TurboTax, if you’re unsure how to accurately report the money you earned as an Amazon Flex driver.

How can Shoeboxed benefit Amazon Flex drivers?

Use Shoeboxed to manage your expenses and track the miles you drive for Amazon.

Shoeboxed is a receipt management app, service, and mileage tracker that lets you digitally track your expenses and business miles.

In 2022, Forbes labeled Shoeboxed the “#1 best receipt tracking app” for businesses and freelancers, and here’s how it can benefit you as an Amazon Flex driver:

1. Track your miles

Shoeboxed’s mileage tracker

Shoeboxed’s free mileage tracker is designed to be user-friendly for those who drive for work.

Once you sign up for Shoeboxed, you can start tracking miles right away by:

• Opening the Shoeboxed app.

• Tapping the “Mileage” icon.

• Clicking the “Start Mileage Tracking” button.

• And driving!

After tapping the tracking button, Shoeboxed begins tracking your location and miles and saves your route as you drive.

When you make stops on your trip, we recommend dropping pins along your route to keep tracking precise.

If you have to pay for parking or tolls during your deliveries, you can simply snap a photo of the receipt and upload it to your Shoeboxed account without stopping the mileage tracker.

For e-receipts, just sync Shoeboxed with your Gmail to automatically pull and categorize expenses.

At the end of a trip, tap “End Mileage Tracking.”

Shoeboxed will then create a summary of your trip that includes the date, editable mileage and trip name, and your tax deductible and rate information.

Click “Done” to approve the summary.

When everything looks good, Shoeboxed will generate a receipt with your trip information, including a photo of your route on the map.

Shoeboxed will auto-categorize your trip under the mileage category for quick reference.

2. Manage your business expenses

Tracking the miles you drive for Amazon Flex is great, but so is tracking your business expenses.

With the Shoeboxed app, you can snap photos of the receipts you get from:

• Parking

• Tolls

• Courier bags

• Car maintenance

• Gas

… and any other business expenses!

Shoeboxed will then pull the information from your receipts with its advanced OCR technology, digitize them, and automatically organize them under 15 tax categories to make tax time a breeze.

The expense categories are editable and you can add tags and descriptions for each purchase to further organize your business expenses.

If you ever need to find a specific business receipt, you can call it up in seconds with Shoeboxed’s advanced search and filters that let you sort receipts by date, vendor, payment type, and more.

3. Prep for tax season

Example of a CSV file expense report from Shoeboxed.

Shoeboxed makes tax season much more manageable with its expense reporting feature.

This feature lets you turn the receipts related to your Amazon Flex gig into a detailed expense report for your accountant. 

Expense reports also help to protect independent contractors if their expenses are ever audited.

Shoeboxed’s expense reports come with images of receipts attached so you have photo evidence of your business expenses.

4. Outsource your receipt scanning

Outsource receipt scanning with the Magic Envelope service

If you didn’t think it could get any better than a receipt scanner and mileage tracker combo, it can.

Shoeboxed also offers a service called the Magic Envelope that allows users to outsource their receipt scanning. This service is unique only to Shoeboxed, so you won’t find it with other receipt management and mileage tracker apps.

The Magic Envelope is perfect for Amazon Flex delivery drivers who rack up a lot of expenses by the end of the year.

When you purchase a plan that includes the Magic Envelope, Shoeboxed will send you a postage-pre-paid envelope each month for you to mail your receipts in.

Once your receipts arrive at the scanning facility, the team at Shoeboxed will scan your receipts, human-verify the information, and upload digital copies to your account under the tax categories.

You can also request that the team put your receipts under custom categories just by leaving a note! 

Let Shoeboxed do the scanning for you with the Magic Envelope

5. Integrate with your accounting software

Shoeboxed can be used as an add-on for accounting software to make managing your finances even easier.

If you already use QuickBooks, Xero, or Wave to manage your finances as an independent contractor, you can integrate Shoeboxed with your account to keep up with receipts.

How do you get started with Shoeboxed?

Follow these steps to get started with Shoeboxed:

Step 1. Schedule a demo (optional)

Scheduling a demo with Shoeboxed will give you a first-hand look at Shoeboxed’s features without having to sign up.

Demos give you the opportunity to get your questions answered, explore the desktop and app versions of Shoeboxed, and even get a personalized plan for your needs!

Click here to choose a date and time that works for you.

Step 2. Choose your plan

Image shows plans that include the Magic Envelope

Shoeboxed offers 6 general plans so you can find one that works best for you as an independent contractor. 

3 of the plans are Digital-Only, and the last 3 plans include the Magic Envelope.

Digital-Only Plans:

• Starter Plan – $4.99/month – 25 documents/month.

• Light Plan – $9.99/month – 50 documents/month.

• Pro Plan – $19.99/month – 115 documents/month.

Magic Envelope Plans:

• Start Up – $18/month – 600 documents/year.

• Professional – $36/month – 1,800 documents/year.

• Business – $54/month – 3,600 documents/year.

You also get a 30-day free trial—no strings attached!

Step 3. Start tracking miles and uploading receipts!

Track miles with the click of a button and upload your receipts using your phone, computer files, or by syncing your Gmail to automatically upload digital receipts to your account.

Frequently asked questions

Can delivery drivers claim mileage taxes?

Delivery drivers should get a 1099 from the company they work with. As an independent contractor, you can deduct mileage and other business-related expenses from your taxes on Schedule C.

Can I use Amazon Flex as proof of income?

For delivery drivers, Amazon Flex can be used as proof of income when renting an apartment or home, applying for a loan, or when requested by a government agency.

To conclude

While Amazon doesn’t track the miles you spend delivering packages, you can keep tabs on your mileage with a third-party app like Shoeboxed.

With Shoeboxed, you’ll always have a digital log of the miles you’ve driven and the expenses incurred for business so you can take advantage of write offs, reduce your tax liability, and save more money. 

Hannah DeMoss is a staff writer for Shoeboxed covering organization and digitization tips for small business owners. Her favorite organization hack is labeling everything in her kitchen cabinets, and she can’t live without her mini label maker machine.

About Shoeboxed!

Shoeboxed is a receipt scanning service with receipt management software that supports multiple methods for receipt capture: send, scan, upload, forward, and more!

You can stuff your receipts into one of our Magic Envelopes (prepaid postage within the US). Use our receipt tracker + receipt scanner app (iPhone, iPad and Android) to snap a picture while on the go. Auto-import receipts from Gmail. Or forward a receipt to your designated Shoeboxed email address.

Turn your receipts into data and deductibles with our expense reports that include IRS-accepted receipt images.

Join over 1 million businesses scanning & organizing receipts, creating expense reports and more—with Shoeboxed.

Try Shoeboxed today!