Freelance Writer Taxes in Louisiana - 2025 Guide

Updated for 2025 (Filing 2024 Taxes)

Is Freelance Writer income taxable in Louisiana?

Yes, absolutely. As a freelance writer in Louisiana, your earnings are subject to both federal and state income taxes. The IRS treats freelance income as business income, meaning you'll report it on Schedule C (Profit or Loss From Business) as part of your Form 1040. Schedule C is where you detail your income and your deductible business expenses. The difference between your income and expenses is your net profit, which is then added to your other income when calculating your adjusted gross income (AGI).

Louisiana has a graduated income tax system. This means the tax rate you pay depends on your taxable income. For the 2024 tax year (filed in 2025), Louisiana will have several tax brackets. You'll use Form 540 to calculate your Louisiana income tax liability. Your federal AGI is a starting point for calculating your Louisiana taxable income, but there are specific Louisiana adjustments and deductions you may be eligible for, separate from your federal deductions. Louisiana also has standard and itemized deductions, similar to the federal system.

Top Tax Write-offs for Freelance Writers

As a freelance writer, you have several opportunities to reduce your taxable income. Here are some key deductions:

• 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, Grammarly Premium), editing tools, plagiarism checkers, project management software, and subscriptions to research databases are all deductible.
• Computer & Equipment: You can deduct the cost of your computer, printer, and other equipment used for your writing business. For larger purchases, you may need to depreciate the cost over several years, or potentially use Section 179 expensing (consult with a tax professional for details).
• Mileage & Transportation: The 2024 federal standard mileage rate is 67 cents per mile for business use of your vehicle. Keep a detailed log of all business miles driven (e.g., to client meetings, research locations). You can also deduct parking fees and tolls. You cannot deduct commuting miles.

The 15.3% Self-Employment Tax Surprise

Many freelancers are surprised to learn about self-employment tax. When you're 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 15.3%. This is broken down into 12.4% for Social Security and 2.9% for Medicare. You'll calculate this tax on Schedule SE (Self-Employment Tax), which you file along with your Form 1040. The good news is that you can deduct one-half of your self-employment tax from your gross income when calculating your AGI.

This tax applies to net earnings over $400.

Closing Tip for Louisiana Residents

Navigating self-employment taxes can be complex. I strongly recommend keeping meticulous records of all your income and expenses throughout the year. Consider using accounting software designed for freelancers. Louisiana's tax laws can be nuanced, so consulting with a qualified tax professional (like myself!) familiar with Louisiana tax regulations is a smart investment to ensure you're taking all eligible deductions and complying with all requirements. Don't hesitate to reach out if you have specific questions or need personalized guidance.