OnlyFans Creator Taxes in Arizona - 2026 Guide

Updated for 2026 (Filing 2025 Taxes)

Tax Essentials for a OnlyFans Creator in Arizona

The Arizona sun isn't the only thing bringing in revenue for content creators; navigating the tax landscape is equally important for success on platforms like OnlyFans. As a self-employed individual earning income through OnlyFans, understanding both federal and Arizona state tax obligations is crucial for remaining compliant and maximizing potential deductions.

The IRS considers income earned through OnlyFans as self-employment income, meaning it must be reported on Schedule C (Profit or Loss from Business) with your Form 1040. Crucially, any net earnings exceeding $400 are subject to self-employment tax, which covers both Social Security and Medicare contributions.

How Arizona Handles Gig Worker Taxes

As a resident of Arizona, a state income tax return is required regardless of income level. Arizona operates under a flat income tax system, meaning all taxpayers pay the same rate. For the 2025 tax year, the Arizona state income tax rate is 2.5%. This rate applies to all taxable income. Self-employed individuals in Arizona will primarily use Form 540, Arizona Individual Income Tax Return, to report their income and calculate their tax liability. It's important to note that Arizona also has a separate form, Form 540-ES, for estimated tax payments, which are generally required if you expect to owe $1,000 or more in state taxes. Arizona also allows for certain credits and deductions that can reduce your tax burden, such as the Arizona Earned Income Tax Credit. Furthermore, Arizona conforms to many federal deductions, meaning deductions taken on your federal Schedule C may also be applicable at the state level. Keeping meticulous records of income and expenses is vital, as Arizona’s Department of Revenue may request documentation to support claims made on your tax return. Resources and further information can be found on the Arizona Department of Revenue website: https://azdor.gov/

Key Tax Deductions for Home-Based OnlyFans Creators

• Home Office Deduction: To qualify for the home office deduction, the space must be used exclusively and regularly for business. “Exclusive use” means that portion of your home is used solely for your OnlyFans work – it cannot double as a guest room or family space. “Regular use” means you use the space consistently for your business. You can calculate the deduction using the simplified method ($5 per square foot, up to 300 square feet) or the actual expense method (calculating a percentage of your mortgage/rent, utilities, etc., based on the square footage used for business).
• Hardware & Software: The cost of equipment essential to your OnlyFans business is deductible. This includes computers, cameras, lighting, microphones, and any necessary software subscriptions like Adobe Creative Cloud, video editing software, or website hosting fees.
• Internet & Phone Bill: You can deduct the portion of your internet and phone bills that are directly related to your OnlyFans business. For example, if you estimate 75% of your internet usage is for work-related activities (content creation, uploads, marketing), you can deduct 75% of the bill.

Note on Mileage: As a home-based worker, mileage deductions are less common. However, if you occasionally travel for work-related purposes – such as meeting with collaborators or attending industry events – you can deduct those miles using the standard mileage rate set by the IRS.

The 15.3% Self-Employment Tax Explained

The 15.3% self-employment tax is comprised of two components: 12.4% for Social Security and 2.9% for Medicare. This tax is essentially the equivalent of the Social Security and Medicare taxes withheld from employees' paychecks. As a self-employed individual, you are responsible for paying both the employer and employee portions of these taxes.