NYC TLC charges explained: How Paxxy protects your earnings

Understanding NYC TLC Charges

A Guide for Paxxy Drivers

Driving in New York City means navigating one of the most regulated transportation environments in the United States. As part of those regulations, the New York City Taxi & Limousine Commission (TLC) and New York State impose several mandatory surcharges on For‑Hire Vehicle (FHV) trips, including Black Car trips like those completed on Paxxy.

This guide explains what these charges are, who pays them, and why they never reduce your earnings as a Paxxy driver.

Why TLC Charges Exist

TLC‑mandated surcharges help fund critical transit infrastructure, reduce congestion, and provide benefits for professional drivers across the state. These fees are required by law and must be added to rides that meet the geographical criteria.

The important part?
Passengers pay these fees, not you. Paxxy automatically collects and remits them on your behalf, ensuring drivers keep more of what they earn.

TLC‑Mandated charges that apply to Paxxy

Below are the only TLC and NY State–regulated surcharges that apply to Black Car / FHV trips. Everything listed here is legally required and must be charged when applicable.

1. NY State Congestion Surcharge

Amount: $2.75 per trip
Who pays: The passenger
Applies to: Any trip that begins, ends, or passes through Manhattan south of 96th Street
Purpose: Supports the MTA operating budget

This surcharge has been in effect since 2019 and applies to all Black Car/FHV trips touching the Congestion Zone (below 96th St). Paxxy adds this automatically, you don’t lose anything from your earnings.

2. NYC Congestion Relief Zone (CRZ) Charge

Amount: $0.75 per trip
Who pays: The passenger
Applies to: Any trip that starts, ends, or travels through Manhattan south of 60th Street
Purpose: Funds NYC’s new congestion‑pricing program implemented in 2025.

This is a separate surcharge from the one above. If a trip touches the area below 60th Street, both charges apply.

3. Black Car Fund Surcharge (BCF)

Amount: Typically, 2.5% of the fare
Who pays: The passenger
Applies to: Every trip dispatched by a TLC‑licensed Black Car Base
Purpose: Funds workers’ compensation and health benefits for drivers

The Black Car Fund is a state‑regulated program providing drivers with benefits including workers’ compensation, telemedicine, vision and dental options, and more. This surcharge never impacts your earnings; it is paid entirely by the rider.

4. MTA State Surcharge

Amount: $0.50 per trip
Who pays: The passenger
Applies to: Trips that end in NYC, Nassau, Suffolk, Westchester, Rockland, Dutchess, Orange, or Putnam counties

This fee supports statewide transit improvements and is charged automatically when the destination county qualifies.

What Drivers Need to Know

• You never pay these fees. Passengers do.

• All TLC and State surcharges are added on top of the customer’s fare and do not reduce your payout.

• Paxxy handles reporting and remittance.

• You don’t have to calculate, submit, or worry about these fees; we manage all compliance with NYC, NYS, and the Black Car Fund.

• These fees are required on every platform. Your earnings remain protected.

• The TLC fees do not come from your share. With Paxxy, you always receive your full driver's earnings based on the payout structure you choose.

Summary table of TLC Charges (Passenger‑Paid)

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