OnlyFans Creator Taxes in Texas - 2026 Guide

Updated for 2026 (Filing 2025 Taxes)

Tax Essentials for a OnlyFans Creator in Texas

Navigating the financial landscape as a content creator in the thriving Texas digital economy requires careful attention to tax obligations. Revenue generated through platforms such as OnlyFans is considered self-employment income, demanding a proactive approach to tax planning and reporting.

The IRS requires all self-employed individuals, including OnlyFans creators, to report income and expenses on Schedule C (Profit or Loss from Business) with Form 1040. Crucially, earnings exceeding $400 necessitate the payment of self-employment tax, covering both Social Security and Medicare contributions. Accurate record-keeping throughout the year is paramount to ensure compliance and maximize potential deductions.

How Texas Handles Gig Worker Taxes

The big perk in the Lone Star State is no personal income tax. However, be aware of the Texas Franchise Tax. While it has a high threshold (over $1.2 million in revenue) that rarely applies to solo gig workers, it's a key part of the state's business tax structure. Even without a state income tax, Texas requires businesses operating within its borders to adhere to certain tax regulations. As an OnlyFans creator operating as a sole proprietor, you are considered a business. While your federal Schedule C income is not directly taxed at the state level, it is factored into determining if your gross revenue exceeds the franchise tax threshold. It’s important to understand that even if you don’t owe franchise tax, you may still need to file an informational report with the state if your revenue surpasses the threshold. Furthermore, depending on the nature of your business and any physical presence (like a dedicated studio), local sales tax implications might arise, particularly if you sell merchandise or offer services beyond digital content. Staying informed about these nuances is vital for maintaining compliance. For comprehensive information on Texas taxes, consult the Texas Comptroller of Public Accounts website.

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” implies consistent and frequent use for business activities. 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 essential equipment like computers, cameras, lighting, and relevant software subscriptions (e.g., Adobe Creative Cloud, website hosting, editing tools) are generally deductible as business expenses. If an item has a useful life of more than one year, it may need to be depreciated over its lifespan.
• Internet & Phone Bill: You can deduct the business-use percentage of your internet and phone bills. For example, if 80% of your internet usage is directly related to your OnlyFans work (content creation, promotion, communication with fans), you can deduct 80% of the bill.

Note on Mileage: As a home-based worker, mileage is not a primary deduction. However, if you occasionally travel for work-related purposes – such as meeting with collaborators, attending industry events, or purchasing supplies – you can deduct the business portion of your mileage 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 effectively covers both the employer and employee portions of these taxes, as you are both the employer and employee in your self-employed capacity. You can deduct one-half of your self-employment tax from your gross income when calculating your adjusted gross income (AGI).