How much do Instacart shoppers pay in taxes?

Instacart full-service shoppers pay self-employment tax (15.3%) plus income tax as independent contractors. In-store shoppers are W-2 employees with taxes withheld. Full-service shoppers should save 25-30% of earnings.

Does Instacart withhold taxes from shoppers?

Only for in-store part-time employees. Full-service Instacart shoppers are 1099 contractors — no taxes are withheld. You must make quarterly estimated payments to avoid IRS penalties.

Can Instacart shoppers deduct mileage?

Yes. Full-service Instacart shoppers can deduct mileage at 72.5 cents/mile (2026) from the store to the customer. Mileage from home to the store is not deductible unless you have a home office.

Instacart Tax Calculator — Tennessee 2026

Free Instacart tax calculator for Tennessee (TN). Tennessee has no state income tax — you only pay federal SE tax (15.3%) and federal income tax. Quarterly payment schedule with Google Calendar export. No signup required.

TN: No Tax IRS Schedule SE No Signup 2026 Tax Rules Instant Results

Instacart Tax Calculator 2026IRS Schedule SE

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Instacart Taxes in Tennessee — 2026 Guide

How Instacart Taxes Work in Tennessee

Tennessee has NO state income tax on wages or self-employment income. Instacart workers in Tennessee only pay federal SE tax and federal income tax. No state quarterly payments required.

SE Tax

15.3%

Federal (all states)

Federal Tax

10–37%

Based on income

TN State Tax

None

No state income tax

2026 Quarterly Tax Deadlines for Tennessee

Quarter	Due Date	Federal (1040-ES)	TN State
NOWQ1 2026	April 15, 2026	✓ Required	Not required
Q2 2026	June 16, 2026	✓ Required	Not required
Q3 2026	September 15, 2026	✓ Required	Not required
Q4 2026	January 15, 2027	✓ Required	Not required

Top Tax Deductions for Instacart Workers in Tennessee

Mileage deduction — 72.5¢/mile (Jan–Jun), 76¢/mile (Jul–Dec) 2026

Phone bill — business use percentage

Auto insurance — business use percentage

Insulated bags & coolers

Parking fees & tolls

Accounting & tax software

Self-employed health insurance premiums

Half of self-employment tax (SE tax deduction)

Phone mount & car accessories

EV charging costs (if electric vehicle)

FAQ — Instacart Taxes in Tennessee 2026

Q: How much is Instacart tax in Tennessee?

In Tennessee, Instacart workers pay 15.3% self-employment tax plus federal income tax. There is no Tennessee state income tax, making it one of the most tax-friendly states for gig workers.

Q: Do I need to make quarterly payments in Tennessee?

In Tennessee, you must make federal quarterly estimated payments (IRS Form 1040-ES) if you expect to owe $1,000 or more. No state quarterly payments are required.

Q: What is the self-employment tax rate in Tennessee for Instacart workers?

The federal self-employment tax rate is 15.3% regardless of state. This covers Social Security (12.4%) and Medicare (2.9%). In Tennessee, you additionally pay no state income tax.

Q: Does Instacart take out taxes in Tennessee?

No. Instacart classifies workers as independent contractors, not employees. No taxes are withheld from your payments. You are responsible for paying all federal SE tax, federal income tax yourself, typically through quarterly estimated payments.

Disclaimer: State tax rates are for estimation purposes. Verify with your state's department of revenue or a licensed CPA. Not affiliated with the IRS, Instacart, or any government agency.

Instacart Tax in Other States