OnlyFans Creator Taxes in Montana - 2026 Guide

Updated for 2026 (Filing 2025 Taxes)

Tax Essentials for a OnlyFans Creator in Montana

Montana’s Big Sky Country offers unique opportunities for digital creators, but navigating the tax landscape as an OnlyFans content provider requires careful attention. Revenue generated through platforms like OnlyFans is considered self-employment income by the IRS, meaning creators are responsible for reporting earnings and paying all applicable taxes.

Federally, income earned through OnlyFans must be reported on Schedule C (Profit or Loss from Business) as part of your Form 1040. Crucially, if net earnings (income minus business expenses) exceed $400, self-employment tax applies. Accurate record-keeping throughout the year is essential for maximizing deductions and ensuring compliance.

How Montana Handles Gig Worker Taxes

As a resident of Montana, a state income tax return is required regardless of income level. Montana operates under a graduated income tax system, meaning the tax rate increases as your income rises. For the 2025 tax year, Montana’s income tax rates are tiered, ranging from 1% to 6.75%. The primary form used for filing state income taxes as a self-employed individual is Form 2, Montana Individual Income Tax Return. This form requires you to report your federal adjusted gross income (AGI) and then calculate your Montana taxable income, taking into account any Montana-specific deductions or credits. Montana also has a standard deduction amount that changes annually; be sure to check the current year’s instructions. Furthermore, Montana requires reporting of business income, similar to the federal Schedule C, to determine your Montana taxable income. It’s important to note that Montana’s tax laws can be complex, and consulting with a tax professional familiar with Montana’s regulations is highly recommended. You can find detailed information and forms on the Montana Department of Revenue website: Montana Department of Revenue. Failure to file and pay Montana state income tax can result in penalties and interest.

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 content creation 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: If you use your internet and phone for both personal and business purposes, you can deduct the percentage attributable to your OnlyFans work. Keep detailed records of how you use these services to support your deduction.

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 comprises 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.