DOTAX News Release – Ride Share – Food Delivery Service Driver Charged for Failure to File Taxes

STATE OF HAWAI ʻI

KA MOKU ʻĀINA O HAWAI ʻI

JOSH GREEN, M.D.
GOVERNOR

KE KIA ʻ ĀINA

DEPARTMENT OF TAXATION

KA 'OIHANA 'AUHAU

GARY S. SUGANUMA

DIRECTOR

KA LUNA HO'OKELE

RIDESHARE/FOOD DELIVERY SERVICE DRIVER CHARGED

FOR FAILURE TO FILE TAXES

News Release 2026-03

FOR IMMEDIATE RELEASE

March 3, 2026

HONOLULU - In a case recently investigated by the Hawaiʻi Department of Taxation (DOTAX) and prosecuted by the Hawaiʻi Department of the Attorney General's Criminal Justice Division, Troy R. Levaughn was charged with four counts for willfully failing to file General Excise Tax (GET) returns under section 231-35, Hawaii Revised Statutes (HRS).

Rideshare drivers - also referred to as transportation network company (TNC) drivers - are required to file tax returns and pay GET on their gross income or gross proceeds, including any discretionary tips they receive. The terms "Transportation Network Company" and "Transportation Network Company Driver" are defined in section 431:10C-701, HRS. Drivers for food delivery service marketplaces are treated similarly.

For purposes of GET, TNCs and "food delivery service marketplaces" are considered "marketplace facilitators" and their drivers are "marketplace sellers." Detailed information on the status of rideshare and food delivery service companies and drivers and their tax obligations can be found in DOTAX's Tax Information Release 2019-03 (Revised) and Tax Information Release No. 2025-01.

"Rideshare and food delivery service drivers are responsible for reporting their income and filing required tax returns," said Tax Director Gary Suganuma. "When these obligations are not met, the department will take steps to address the noncompliance, so we encourage these companies and drivers to educate themselves and to ensure tax compliance."

Criminal defendants are presumed innocent unless and until proven guilty in a court of law.

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