The question is "does your car fall under vehicle-for-hire." It doesn't. However as a independent contractor you may use for vehicle expenses for tax deduction. So whereas you need the tax deductions for taxes you may implement the deductions.
The new tax deductions that may go into effect essentially will kill this deduction by the new Trump administration. Fleet owners will benifit by not independent contractors which many drivers have stated will leave the platform if this occurs.
The car itself is not classified as a vehicle-for-hire by state and statue standards.
I'd also point out many drivers are involved in acccidnets and Uber is well known to distance themselves from responsibility by making statements they are not responsible for liability and simply provide a service to connect two people.
Commercial vehicle-for-hire cars do not allow outside persons to operate the vehicle. Only drivers with passed checks are on commercial policy of the vehicle. No outside family members or friends.
You can find an overwhelming amount of requirements to be classified as commercial vehicle-for-hire which are non existent when utilizing your car for these firms.
So for taxes as a independent contractor you may make vehicle deductions but the vehicle is clearly not a commercial ride.
If you had a few drinks and blew a .5 would you tell the officer "I'm over the limit and guilty, this is a commercial vehicle".(?) I highly doubt it and it's not. Right there would give you a clear indication of the differences.
On both firms websites they claim they do not provide any transportation and drivers are independent contractors.
Uber's app clearly states they are not responsible for any actions of the driver and you as the passenger assume all risk and they are not liable even if death occurred.
*Take the app away and the vehicle itself doesn't carry commercial endorsements. Uber's insurance provided by James Rivers protects the passengers in case of an accident. If the driver is involved in an accident they do not have any coverage from injuries. Uber has a $1,000 deductible for crashes the driver is responsible for and Lyft has a $2,500 deductible. It's at this point when a crash does occur does the reality set in working for the app firms.
This is why many drivers remove the required by law placard in their windsheild to avoid claims through Uber and paying the high deductible or having their insurance find out they are working as a driver. Uber also makes it clear drivers are responsible for notifying their policy of such endeavors and must obtain extra ride-share coverage to fill the gap. In most cases insurance will drop the policy holder once they are involved in an accident. Some airports are now requiring proof from their insurance they have obtained the extra coverage to fill the gap.
With a commercial vehicle the policy is clear, the vehicle has 24/7 commercial coverage.
