Freelance Writer Taxes in Connecticut - 2025 Guide

Updated for 2025 (Filing 2024 Taxes)

Is Freelance Writer income taxable in Connecticut?

Yes, absolutely. As a freelance writer in Connecticut, all income you earn is subject to both federal and state income taxes. Here's a breakdown:

• Federal Taxes: The IRS considers your freelance writing income as business income. You'll report this income on Schedule C (Profit or Loss From Business), which is filed with your Form 1040. Schedule C allows you to deduct business expenses (more on that below!), reducing your taxable income. You'll calculate your net profit (income minus expenses) on Schedule C, and that amount flows to your 1040.
• Connecticut Taxes: Connecticut has a graduated income tax system. This means the tax rate you pay increases as your income increases. Your net profit from Schedule C will be included in your Adjusted Gross Income (AGI) on your Connecticut income tax return (Form CT-1040). Connecticut's tax brackets for 2024 (filing in 2025) will determine your final state income tax liability. You'll find the current brackets on the Connecticut Department of Revenue Services website (portal.ct.gov/DRS). It's important to note that Connecticut does allow a standard deduction and potentially itemized deductions, similar to the federal system, which can further reduce your taxable income.

Top Tax Write-offs for Freelance Writers

One of the biggest benefits of being a freelancer is the ability to deduct legitimate business expenses. Here are some key deductions for freelance writers:

• Home Office Deduction: If you use a portion of your home exclusively and regularly for your writing business, you can deduct expenses related to that space. This includes a percentage of your mortgage interest or rent, utilities, property taxes, and homeowner's insurance. There's a simplified method available as well.
• Software & Subscriptions: Costs for writing software (like Scrivener or Grammarly), editing tools, plagiarism checkers, project management software, and any relevant online subscriptions are deductible.
• Equipment: Computers, printers, cameras (if used for content creation), and other equipment used for your writing business are deductible. You can either deduct the full cost in the year of purchase (using Section 179 deduction, subject to limits) or depreciate the cost over several years.
• Mileage & Transportation: The 2024 federal standard mileage rate is 67 cents per mile for business use of your car. Keep a detailed log of all business miles driven (e.g., to client meetings, research trips). You can also deduct parking fees and tolls. You cannot deduct commuting miles.

The 15.3% Self-Employment Tax Surprise

As an employee, your employer pays half of your Social Security and Medicare taxes. As a freelancer, you're both the employer and the employee, so you're responsible for the full amount. This is called self-employment tax, and it's currently 15.3% (12.4% for Social Security up to the annual wage base, and 2.9% for Medicare). You report this on Schedule SE (Self-Employment Tax). The good news is you can deduct one-half of your self-employment tax from your adjusted gross income on Form 1040, which helps reduce your overall income tax liability. Remember, self-employment tax applies to earnings over $400.

Closing Tip for Connecticut Residents

Don't wait until the last minute! Keeping accurate records of your income and expenses throughout the year will make tax time much easier. Consider using accounting software or a spreadsheet to track everything. Also, be sure to check the Connecticut Department of Revenue Services website (portal.ct.gov/DRS) for any updates to state tax laws or forms. If you find yourself overwhelmed, consulting with a qualified tax professional (like myself!) can provide peace of mind and ensure you're taking advantage of all available deductions.