Can content creators write off everything that appears in their videos?

Where the claim comes from

Creators hear that because their life is their content, their life is their business expense. The idea spreads because some items really are deductible: cameras, lighting, microphones, editing software, and props. The error is treating the camera as the test. Whether something is deductible depends on what the item is and how it is used, not on whether it was filmed.

Brand deals add to the confusion. When a company sends free products or asks a creator to feature an item, creators often assume the item must be a business expense. Free products received for promotion are generally income at their fair market value, and a product you keep using personally does not become deductible because it was featured.

What the law actually says

IRC §162(a) allows a deduction for ordinary and necessary expenses paid or incurred in carrying on a trade or business. IRC §262(a) provides that, except as otherwise expressly provided, no deduction is allowed for personal, living, or family expenses. When an item serves both purposes, the deduction is limited to the business portion, and you carry the burden of showing that portion.

IRC §6001 requires you to keep records sufficient to show your income and deductions. Computers are no longer "listed property" under IRC §280F, but a business-use percentage still has to be supported. If you want to expense an asset under IRC §179, the asset must be used more than 50% in the business in the year it is placed in service. For 2026, 100% bonus depreciation is available under IRC §168(k), as amended by P.L. 119-21, for qualified property acquired after January 19, 2025, applied to the business-use share of the cost.

Courts decide mixed-use questions on the facts. The creator has to show what the item cost, how it was used, and why the claimed percentage is reasonable. An expense that is lavish for the size of the business, or that looks more like a lifestyle purchase than a production cost, draws closer review. When a deduction cannot be supported, the IRS can disallow it and assert the 20% accuracy-related penalty under IRC §6662, following the procedures in IRM 20.1.5.

What is true and what is not

Creators with a real business get real deductions: production equipment, software subscriptions, platform and editing fees, contractors, a qualifying home office, and the business share of a phone or internet plan. Items bought only for filming, such as a set backdrop or a costume that is not suited to street wear, can qualify.

What does not work is deducting the personal side of your life because it shows up in a video: everyday outfits, your own meals, your family vacation, or a gaming console you mostly use for fun. Filming a personal expense does not make it a business expense.

A practical way to sort a purchase: ask whether you would have bought it if you had no channel. If the answer is yes, and you use it in your personal life, it is personal or at most mixed-use. If the answer is no, and it sits in your studio between shoots, it is much more likely to be a business asset.

• Deductible: the business share of equipment and software.
• Deductible: props and costumes with no practical personal use.
• Not deductible: clothing suitable for everyday wear.
• Not deductible: personal meals, trips, and hobbies filmed for content.

What to do instead

Keep a separate business bank account and card. For each mixed-use asset, keep a usage log for a representative period and write down how you estimated the percentage. Save receipts with a note tying the purchase to specific content. For props, record which videos used them and where they are stored.

If the business is new or does not yet earn a profit, be aware that the IRS may ask whether it is engaged in for profit under IRC §183. A business plan, separate books, and changes made to improve results help show a profit motive.

Report all platform income, including gifted products and affiliate payments, so that your deductions are measured against complete income. Review your categories quarterly rather than at filing time, when memories of how an item was used have faded.

How ebotCPA helps

We sort your creator expenses into business, personal, and mixed-use categories, document the business-use percentages, and choose between §179 and bonus depreciation for equipment.

Book a $497 Case Analysis to have Ebot Mbi, CPA, EA review your facts before you act.

Primary sources

1. 26 U.S.C. §162(a). Ordinary and necessary business expenses.

   Allows deductions for ordinary and necessary costs of carrying on the content business.

2. 26 U.S.C. §262(a). Personal, living, and family expenses.

   “Except as otherwise expressly provided in this chapter, no deduction shall be allowed for personal, living, or family expenses.”

   Disallows the personal share of mixed-use items and purely personal items shown on camera.

3. 26 U.S.C. §6001. Records requirement.

   Requires records that support each deduction, including business-use percentages.

4. 26 U.S.C. §179(d)(10). Recapture when business use drops.

   Section 179 expensing depends on predominant business use and is recaptured if business use later falls to 50% or less.

5. IRS Publication 334, Tax Guide for Small Business. Business expenses for sole proprietors.

   Explains how sole proprietors report business expenses and allocate mixed-use costs.

6. IRM 20.1.5. Return Related Penalties.

   Explains how examiners assert the IRC §6662 accuracy-related penalty when a deduction or exclusion is not supported.

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