In a plot twist worthy of reality TV, IRS agents could soon become unwitting subscribers to OnlyFans content. This unexpected turn of events comes courtesy of President Trump's One Big Beautiful Bill Act, which offers a "no tax on tips" provision. However, there's a catch – the exemption doesn't apply to "pornographic activity," leaving plenty of room for interpretation.
The bill, passed in July, includes a list of nearly 70 professions eligible for the tax break, heavily featuring service-based roles like "dancers" and "digital content creators." Still, the ambiguity around what qualifies as "pornographic activity" means IRS agents might have to get hands-on with OnlyFans to make their determinations.
“Where’s the line? Just because you’re on OnlyFans, that doesn’t necessarily mean it’s pornographic,” said Katherine Studley, an accountant with clients who work as creators on OnlyFans, to the New York Times. “You could have a cooking channel or a yoga channel.”
Platforms like OnlyFans, known for offering a wide range of content from amateur porn to niche fetishes, sit right in the "jiggle room" of this legislation. The US government has never strictly defined pornography, and cultural perceptions of it have evolved over the years. This lack of clarity could make it tricky for the Trump administration to exclude all 4.6 million OnlyFans creators from the tax break – especially since it’s unclear how many reside in the US.
Tax experts, like Thomas Gorczynski, suggest that the final say will be up to IRS examiners or even tax-court judges. “Ultimately, it would be the subjective determination of an IRS examiner or a tax-court judge,” Gorczynski noted. "Sometimes you look at something, and it’s clearly pornography, but sometimes you look at something and you think, ‘Eh, it’s subjective. Somebody might be really into it,’” he added.
This new development places a spotlight on how subscriber-reliant platforms operate. OnlyFans, protected by a paywall, offers vast varieties of content. Some creators openly advertise their work as pornography, while others cater to specific fetishes – including the surprisingly popular market for pictures of women’s bare feet.
The tax deduction for tips is capped at $25,000, with income limits of $150,000 for individuals and $300,000 for couples. However, some OnlyFans creators reportedly rake in over $1 million, making the stakes for classifying content even higher. As IRS agents potentially embark on this peculiar mission, content creators and subscribers alike watch closely, wondering where the line will be drawn.