Full-service Instacart shoppers are independent contractors who receive a 1099-NEC and must file Schedule C. In-store shoppers are W-2 employees — Instacart withholds taxes on their behalf, so they do not file Schedule C. This distinction is critical: full-service shoppers owe self-employment tax (15.3%) on net profit and must make quarterly estimated payments.
ExpenseBot helps full-service Instacart shoppers in three ways. First, it scans your Gmail inbox for Instacart weekly earnings summaries and automatically logs batch pay, tip income, and bonuses — no manual entry. Second, since Instacart does not provide a per-delivery mileage CSV (unlike Uber), ExpenseBot's GPS-based mileage tracker builds an IRS-compliant mileage log at the 2026 standard rate of 72.5 cents per mile. Third, it generates a Schedule C-ready deduction report covering vehicle expenses, phone, insulated bags, cart fees, and other qualifying costs.
Key 2026 facts for Instacart shoppers: Instacart sends a 1099-NEC if you earned $600 or more during the year. The 1099-K threshold has been restored to $20,000 by the One Big Beautiful Bill Act. App-based delivery workers may qualify for the new No Tax on Tips deduction (up to $25,000, phasing out at MAGI above $150,000 single). Quarterly estimated tax deadlines are April 15, June 15, September 15, and January 15, 2027. Self-employment tax is 15.3%, of which 50% is deductible on Schedule 1 Line 15.