Working on OnlyFans? Here are the taxes you need to know (USA)

If you earn money from your content on OnlyFans in the United States, yes, you must report and pay taxes. Even if you work from home or think it's "easy money," the IRS considers it self-employment income. Here we explain the basics, without the technical jargon.

1. You're considered self-employed

As an OnlyFans creator, you're not an employee of the platform - you're running your own small business as a sole proprietor. This means you're subject to both income tax and self-employment tax on your earnings. Self-employment tax in the US is 15.3% (12.4% for Social Security and 2.9% for Medicare).

2. You'll need to file a W-9 form

Before you can withdraw your first earnings from OnlyFans, you'll be required to fill out a W-9 form. This provides your tax identification number (SSN) to OnlyFans so they can report your earnings to the IRS. Simply check "Individual/sole proprietor," enter your personal details, and provide your Social Security Number.

3. OnlyFans will send you a 1099-NEC form

If you earn more than $600 in a year, OnlyFans will mail you a 1099-NEC form by January 31st (sent by their parent company "Fenix International Limited"). This form shows your total gross income for the year. Even if you earn less than $600, you still must report all income to the IRS.

4. You'll file Schedule C with your tax return

As a business owner, you'll need to file Schedule C along with your regular 1040 tax return. This form reports your business income (from your 1099-NEC) and allows you to deduct business expenses. The resulting net income is what you'll pay taxes on.

5. Don't forget Schedule SE for self-employment tax

You'll also need to file Schedule SE to calculate your self-employment tax based on your net income from Schedule C. This is in addition to regular income tax and covers your Social Security and Medicare contributions.

6. You can deduct business expenses

Everything you use exclusively for creating content can help reduce your tax burden: cameras, smartphones, computers, lighting equipment, makeup (used only for content), costumes, internet bills (proportionate to business use), props, editing software, and even a portion of your rent if you use part of your home exclusively for filming.

7. Pay quarterly if you expect to owe $1,000+

If you expect to owe more than $1,000 in taxes for the year, you must pay estimated taxes quarterly to avoid penalties. The deadlines are April 15th, June 15th, September 15th, and January 15th. Use Form 1040-ES to calculate and submit these payments.

8. What if you don't comply?

Failing to report your OnlyFans income can result in significant penalties and interest charges from the IRS. You could face audits, additional taxes owed, and legal consequences. It's always better to comply from the start.

Need help getting started?

If all this sounds overwhelming, don't worry. Many creators work with tax professionals or use tax software specifically designed for self-employed individuals. Consider consulting with a CPA who understands online content creation businesses.

Remember: besides complying with the IRS, it's also important to protect your content. With Oh My Leak you can search for free if your photos or videos have been leaked on the internet.