Do you pay taxes on Kickstarter money?
I'm curious to know, do individuals who raise funds through Kickstarter have to pay taxes on the money they receive? Is it considered taxable income, or does it fall under a different category? And if it is taxable, how does one go about reporting and paying those taxes? I'm asking because I'm considering starting a Kickstarter campaign and want to ensure that I'm prepared to handle any financial obligations that may arise.
What happens to leftover Kickstarter money?
So, I'm curious, what exactly happens to the leftover money from a Kickstarter campaign? Do the creators get to keep it all, or do they have to return some of it to the backers? And if they do keep it, what are the guidelines usual or practices surrounding how they can use it? I'm sure there are a lot of details to consider here, so I'm eager to learn more about how the process works.