What information is required to successfully pass a taxi or private hire driver HMRC tax check?

Since April 2022, taxi and private hire vehicle (PHV) drivers in England and Wales must complete an HMRC tax check to renew their licences. This measure aims to ensure drivers are aware of and compliant with their tax obligations.

The process is straightforward. When renewing a licence, drivers must complete a tax check via a GOV.UK link. The check requires identification documents such as a driver’s licence, passport, or historic self-assessment details.

Drivers will also need to provide information about the length of their previous licence, when they first entered into the industry, and their latest accounts showing earnings from taxi or PHV operations.

If the details match an existing self-assessment account, a code is generated for the application form. This code confirms to the licensing authority that the tax check is complete, allowing them to proceed with the renewal.

For first-time applicants, licensing authorities must guide them to HMRC resources on tax obligations before considering their application.

For renewals, the licensing body must verify with HMRC that the applicant has completed the tax check. The digital system designed by HMRC makes the process quick and easy, with additional support available for those who need it.

This initiative helps combat the hidden economy by ensuring that all drivers and operators are fulfilling their tax responsibilities.