Freelance Writer Taxes in Washington - 2025 Guide

Updated for 2025 (Filing 2024 Taxes)

Is Freelance Writer income taxable in Washington?

Yes, your income as a freelance writer is taxable, but the specifics are a bit different in Washington State. Federally, the IRS treats freelance writing income as business income. You'll report this income and related expenses on Schedule C (Profit or Loss From Business), which is filed with your Form 1040. This schedule determines your net profit (income minus expenses), which is then added to your other income to calculate your adjusted gross income (AGI).

Washington State is unique – it does not have a state income tax. However, this doesn’t mean you’re off the hook entirely. Washington does have a Capital Gains tax, which may apply if you sell certain assets (like stocks or property) for a profit. Freelance writing income itself is generally not subject to Washington’s capital gains tax, but it’s important to be aware of it if you have other investment activity. You will still be responsible for federal income tax on your earnings.

Top Tax Write-offs for Freelance Writers

As a freelance writer, you have several opportunities to reduce your taxable income through legitimate business deductions. Here are a few key ones:

• 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), editing tools, plagiarism checkers, 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 items with a useful life of more than one year, you'll typically depreciate the cost over several years, or potentially use Section 179 deduction for immediate expensing (subject to limitations).
• Mileage & Transportation: When you travel for work – to meet clients, conduct research, or attend conferences – you can deduct your business 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! You can also deduct parking fees and tolls.

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 and Schedule C. The good news is that you can deduct one-half of your self-employment tax from your gross income.

This tax applies to net earnings over $400.

Closing Tip for Washington Residents

While Washington State doesn’t have an income tax, meticulous record-keeping is still crucial. Keep detailed records of all your income and expenses, especially mileage. Consider using accounting software or working with a tax professional to ensure you’re taking all the deductions you’re entitled to and complying with federal tax laws. Don't forget to plan for estimated tax payments throughout the year to avoid penalties. Good luck with your writing and your taxes!