OnlyFans Creator Taxes in Tennessee - 2025 Guide

Updated for 2025 (Filing 2024 Taxes)

Is OnlyFans Creator income taxable in Tennessee?

Yes, your income from OnlyFans is absolutely taxable, but the situation in Tennessee is simpler than in many other states. The federal government considers income earned through platforms like OnlyFans as self-employment income. This means you'll report your earnings on Schedule C (Profit or Loss from Business) when you file your federal income tax return (Form 1040). You'll calculate your profit (income minus expenses) on Schedule C, and that profit is then added to your overall income for the year.

Tennessee-Specific Rules: Fortunately, Tennessee has no state income tax. This means you won't need to file a state income tax return or pay state income tax on your OnlyFans earnings. However, this does not exempt you from federal taxes, including self-employment tax.

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:

• Equipment: This includes cameras, lighting, computers, phones, and any other equipment used directly for creating content. 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.
• Software & Subscriptions: Expenses for editing software (e.g., Adobe Creative Cloud), streaming software, website hosting, and OnlyFans subscription fees (the fees you pay to OnlyFans, not what your subscribers pay you) are deductible.
• Home Office Deduction: If you use a dedicated space in your home exclusively and regularly for your OnlyFans business, you may be able to deduct a portion of your rent or mortgage, utilities, and home insurance. The calculation can be complex, so consider using the simplified method.
• Mileage: If you drive for business purposes (e.g., to purchase equipment, attend networking events), 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!

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%. This is calculated on Schedule SE (Self-Employment Tax). You only pay self-employment tax on profits over $400. The good news is that you can deduct one-half of your self-employment tax from your gross income on Form 1040, which helps reduce your overall tax burden.

Closing Tip for Tennessee Residents

While Tennessee's lack of state income tax is a benefit, don't underestimate your federal tax obligations as an OnlyFans creator. Meticulous record-keeping is crucial – track all income and expenses throughout the year. Consider using accounting software or working with a qualified tax professional (like myself!) to ensure you're maximizing your deductions and complying with all IRS regulations. Proactive tax planning can save you significant money and stress during tax season.