Ola, Uber Apps Banned from Asking for Tips Before Rides: Central Government Order

The Central Government has directed online cab companies such as Ola and Uber not to ask passengers for tips or additional payments before a ride.

In recent times, some cab booking platforms have introduced features such as “Advance Tips” and options asking passengers to pay an additional amount to get a cab faster.

The Central Consumer Protection Authority (CCPA) received complaints that such features could create the impression among passengers that drivers would accept rides only if additional money was offered.

Following these complaints, the Ministry of Road Transport and Highways (MoRTH) has advised all online taxi companies to make immediate changes to their apps in accordance with the 2025 Motor Vehicle Aggregator Guidelines.

Tips Can Still Be Given After the Ride

The Central Government has not completely banned passengers from giving tips to taxi drivers.

Passengers can voluntarily provide a tip to the driver after completing the journey as a token of appreciation for the service. However, online cab companies should not treat tips as a mandatory or advance payment for securing a ride.

The tip amount given by passengers should also be passed on to the driver without any deduction by the platform.

No Advance Tip for Faster Cab Booking

In simple terms, passengers can still tip drivers after completing their Ola or Uber ride if they are satisfied with the service.

However, platforms should not ask passengers to pay a tip in advance as a condition for getting a cab quickly or encouraging a driver to accept the ride.

The government`s clarification aims to ensure greater transparency in online cab booking services and prevent passengers from feeling that an additional payment is necessary to secure a taxi.