OnlyFans Creator Taxes in Illinois - 2025 Guide

Updated for 2025 (Filing 2024 Taxes)

Is OnlyFans Creator income taxable in Illinois?

Yes, absolutely. Income earned through OnlyFans is considered taxable income by both the federal government and the State of Illinois. As an OnlyFans creator, you are generally considered self-employed by the IRS. This means you'll need to report your earnings on a Schedule C (Profit or Loss from Business) with your Form 1040 federal income tax return.

Federal Requirements (Schedule C): You'll report all income received through OnlyFans as business income on Schedule C. You'll then deduct allowable business expenses (more on those below) to arrive at your net profit. This net profit is then added to your other income (if any) to calculate your adjusted gross income (AGI) and ultimately, your taxable income.

Illinois Specific Rules (Flat Income Tax): Illinois has a flat income tax rate for 2024, currently at 4.95%. Your net profit from your Schedule C will be included in your Illinois income calculation, and this flat rate will be applied. Unlike some states, Illinois doesn't offer a tiered tax system, so every dollar of taxable income is taxed at the same rate. You'll report this income on Form IL-1040.

Top Tax Write-offs for OnlyFans Creators

As a self-employed individual, you can significantly reduce your tax liability by claiming legitimate business expenses. Here are some common deductions for OnlyFans creators:

• Software & Subscriptions: Costs for editing software (photo/video), streaming tools, scheduling apps, and any subscription services directly used for creating and managing your OnlyFans content are deductible.
• Equipment: Expenses for cameras, lighting, computers, phones, and other equipment used primarily for your OnlyFans business are deductible. If an item costs over $2,500, you may need to depreciate it over several years.
• Mileage: If you drive for business purposes (e.g., to photoshoots, to purchase equipment), you can deduct mileage. For 2024, the standard mileage rate is 67 cents per mile (verify the final official rate from the IRS). Keep a detailed mileage log!
• Home Office Deduction: If you use a portion of your home exclusively and regularly for your OnlyFans business, you may be able to deduct a portion of your rent/mortgage, utilities, and home insurance. There are specific rules and calculations for this deduction – consult IRS Publication 587.

The 15.3% Self-Employment Tax Surprise

Many self-employed individuals are surprised by self-employment tax. When you're an employee, your employer pays half of your Social Security and Medicare taxes. As a self-employed individual, you're responsible for both the employer and employee portions, totaling 15.3% (12.4% for Social Security and 2.9% for Medicare).

You'll calculate this tax on Schedule SE (Self-Employment Tax). However, you only pay self-employment tax on 92.35% of your net profit. The good news is that you can deduct one-half of your self-employment tax from your gross income when calculating your adjusted gross income (AGI) on Form 1040.

Closing Tip for Illinois Residents

Tax laws can be complex, and it's easy to miss deductions or make errors. I strongly recommend keeping meticulous records of all your income and expenses throughout the year. Consider using accounting software designed for freelancers or consulting with a qualified tax professional (like myself!) who understands the unique challenges faced by OnlyFans creators in Illinois. Proactive tax planning can save you significant money and stress come tax season. Don't hesitate to reach out if you have further questions!