Self-employment FEDERAL INCOME TAX

In the United States, you generally have to pay federal income tax if your total annual income - including art sales - exceeds the standard deduction ($15,700 for single filers in 2025). However, if your net earnings (profit) from selling art are $400 or more, you are required to pay self-employment tax (social security and Medicare) regardless of whether your total income requires filing a return.

Here is a breakdown of the thresholds and rules for artists based on 2025 IRS Guidelines:

The $400 rule (Self-Employment Tax

If your art sales are considered a business (you intend to make a profit), you must pay self-employment tax if your net earnings (gross sales minus business expenses) are $400 or more.

• Example: If you sell $2000 of art but spend $1700 on supplies, frames, and booth fees, your profit is $300. You likely owe no self-employment tax because it is under $400.