Graphic Designer Taxes in New Hampshire - 2026 Guide

Updated for 2026 (Filing 2025 Taxes)

Tax Essentials for a Graphic Designer in New Hampshire

From crafting logos for Portsmouth’s vibrant waterfront businesses to designing marketing materials for the state’s thriving tourism industry, graphic designers in New Hampshire play a vital role in the local economy. However, alongside creative freedom comes the responsibility of managing taxes as a self-employed individual.

As a graphic designer operating as an independent contractor in New Hampshire, all income earned must be reported to the IRS. This is typically done using Schedule C (Profit or Loss from Business) as part of your Form 1040. Crucially, earnings exceeding $400 are subject to self-employment tax, which covers both Social Security and Medicare contributions.

How New Hampshire Handles Gig Worker Taxes

New Hampshire distinguishes itself from most states with a unique tax structure: there is no state income tax. This means graphic designers won’t file a state income tax return based on their earnings. However, this does not exempt them from federal tax obligations. The federal government still requires reporting of all income and payment of applicable taxes. New Hampshire does levy taxes on interest and dividends, but these are generally not relevant to the income of a graphic designer providing services. A significant aspect of New Hampshire’s fiscal policy is its reliance on property taxes to fund local services, so understanding local property tax implications, even if renting, is important for long-term financial planning. Furthermore, while there's no income tax, New Hampshire does have business taxes like the Business Enterprise Tax (BET) and the Business Profits Tax (BPT) which may apply depending on the structure and scale of the graphic design business. It’s crucial to consult with a tax professional to determine if these apply. For detailed information on New Hampshire’s tax laws and resources, please visit the New Hampshire Department of Revenue Administration: https://www.revenue.nh.gov/

Key Tax Deductions for Home-Based Graphic Designers

• Home Office Deduction: This deduction allows graphic designers to write off expenses related to the portion of their home exclusively and regularly used for business. “Exclusive use” means that space is only used for work – a spare bedroom dedicated solely to design work qualifies, while a corner of the living room used for both work and leisure does not. “Regular use” means consistent and frequent use for business purposes. Taxpayers can choose between the simplified method ($5 per square foot, up to 300 square feet) or the actual expense method (calculating a percentage of mortgage interest, rent, utilities, etc., based on the square footage used for business).
• Hardware & Software: The cost of essential tools like computers, graphic tablets, cameras, and software subscriptions (Adobe Creative Cloud, font licenses, website hosting) are generally deductible as business expenses. For larger purchases (over a certain threshold, currently $2,500), depreciation may be required, spreading the deduction over several years.
• Internet & Phone Bill: If a portion of your internet and phone usage is dedicated to business, you can deduct the corresponding percentage. Keep detailed records of business-related usage to support your claim.

Note on Mileage: As a home-based worker, mileage deductions are less common for graphic designers. However, any travel directly related to business – such as client meetings, trips to print shops, or attending industry events – can be claimed 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 parts: 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, but as a self-employed individual, you are responsible for paying both the employer and employee portions. You can deduct one-half of your self-employment tax from your gross income.