Twitch Streamer Taxes in Missouri - 2025 Guide

Updated for 2025 (Filing 2024 Taxes)

Is Twitch Streamer income taxable in Missouri?

Yes, absolutely. Income earned from Twitch streaming is considered taxable income by both the federal government and the state of Missouri. The IRS treats Twitch streamers as self-employed individuals. This means you're responsible for reporting your earnings and paying both income tax and self-employment tax.

Federal Requirements (Schedule C): You will report your Twitch income and expenses on Schedule C (Profit or Loss From Business) when you file your federal income tax return (Form 1040). This form calculates your net profit (income minus expenses). Even if you don't feel like you made a profit, you still need to file if your gross income exceeds $400.

Missouri Specific Rules: Missouri has a graduated income tax system. This means the tax rate you pay increases as your income increases. You'll use Missouri Form MO-1040 to calculate your state income tax liability based on your net profit from Schedule C, along with any other income you have. Missouri's tax brackets for 2024 (filing in 2025) will determine your specific tax rate. You can find the current brackets on the Missouri Department of Revenue website (dor.mo.gov). Missouri also allows for itemized deductions, which may further reduce your taxable income.

Top Tax Write-offs for Twitch Streamers

As a self-employed streamer, you can significantly reduce your tax burden by claiming eligible business expenses. Here are some common deductions:

• Streaming Equipment: The cost of your computer, webcam, microphone, lighting, capture card, and other equipment used specifically for streaming is deductible. You can either deduct the full cost in the year of purchase (using Section 179 deduction, subject to limitations) or depreciate the cost over several years.
• Software & Subscriptions: Expenses for streaming software (OBS Studio, Streamlabs Desktop), editing software (Adobe Premiere Pro, DaVinci Resolve), graphic design tools (Photoshop), music licenses (StreamBeats), and any subscriptions necessary for your stream (e.g., Twitch affiliate/partner fees) are deductible.
• Internet & Utilities: If you use a dedicated portion of your home exclusively and regularly for streaming, you can deduct a percentage of your internet bill, electricity, and potentially even rent or mortgage interest. This is calculated using the home office deduction (Form 8829). Be careful with this one – the rules are strict!
• Mileage: If you travel for streaming-related activities (e.g., attending conventions, meeting with sponsors), you can deduct the business portion of your mileage. For 2024, the standard mileage rate is approximately 67 cents per mile. Keep a detailed log of your trips, including dates, destinations, and business purpose.

The 15.3% Self-Employment Tax Surprise

Many self-employed individuals 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 self-employed streamer, 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). The good news is you only pay self-employment tax on 92.35% of your net earnings. You do get to deduct one-half of your self-employment tax from your gross income when calculating your adjusted gross income (AGI) on Form 1040, which can lower your overall income tax liability.

Closing Tip for Missouri Residents

Tax laws can be complex, and this information is for general guidance only. 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 Twitch streamers in Missouri. Proactive tax planning can save you money and stress come tax season. Good luck with your streams, and happy filing!