1. Restaurants
  2. Questions
  3. Delivery sales tax

Sales tax paid twice on delivery orders

Do restaurants pay sales tax on DoorDash orders?

Updated · Checked against primary sources

The short answer

It depends on your state. Where DoorDash is the marketplace facilitator for restaurants, such as Illinois, Pennsylvania, Ohio, Georgia and North Carolina, DoorDash collects and remits the sales tax and the restaurant should not pay it again. In states DoorDash does not list, including California and Texas, the restaurant remits. Since 2024 DoorDash also passes some local taxes back to restaurants to remit.

Key takeaways

How to check who remitted each order

DoorDash's Monthly Subtotal Tax Breakdown report (Statements tab) lists each tax jurisdiction and imposition with its remittance responsibility, DoorDash or merchant. Its transaction and payout reports carry a column for "Subtotal Tax Remitted by DoorDash to Tax Authorities." In Toast, the Sales Summary tax tile splits tax into "Remitted by 3rd Party" and "Remitted by Restaurant" (Toast).

Frequently asked questions

What about Uber Eats and Grubhub?
Each platform keeps its own list and start dates. Uber Eats, for example, remits in California from April 1, 2021, where DoorDash and Grubhub do not, and passes local meals taxes back in several states. Check each platform separately.
If DoorDash remits, do I still report the sales?
Many states want the sales reported and then deducted or excluded as marketplace sales, rather than left off entirely. The line and deduction name vary by state; your preparer or the state's return instructions decide it.

Run your own numbers

Free leak scan

Find out what your restaurant is owed

Send exports, not logins: processor statements, payout reports, delivery-app CSVs and payroll summaries. We return a written list of what looks recoverable, what each item is worth, and which deadlines are still open. If something is worth pursuing, we quote the recovery before you commit to anything.

Request a free leak scan

Go deeper

Terms on this page

Marketplace facilitator
A platform, such as DoorDash or Uber Eats, that a state makes responsible for collecting and remitting sales tax on sales it facilitates. Where it applies to restaurant orders, the restaurant should not remit the same tax again.

Sources

  1. DoorDash: US merchant marketplace facilitator FAQ
  2. Uber Eats Merchants: Marketplace facilitator
  3. Toast Support: DoorDash marketplace facilitator tax
  4. Toast Support: Understanding marketplace facilitator laws

Cite this page

Pavado, “Do restaurants pay sales tax on DoorDash orders?”, https://www.pavadotech.com/restaurants/questions/do-restaurants-pay-sales-tax-on-doordash-orders, updated 2026-09-23.