Tax Law Blog
A commonly-recognized feature of
many business entities is the "shield" that protects officers,
members, managers, and partners from personal liability for the business's
actions. However, that "shield" does not protect the officers of a
company from all liability. Importantly,
if a business fails to pay its taxes, then the key officers of the business can
be held personally liable for the unpaid taxes of the business.
Kickstarter is a crowdfunding platform for creative projects. Project creators set a funding goal and deadline for their project, and if people like the project, they can pledge money to help make it happen. From movies to books, electronic gadgets to fashion, a wide range of projects raise funds (and in many cases don't raise funds) on Kickstarter. One guy even raised over $50,000 to make potato salad.
While Kickstarter has been a great fundraising platform for a wide range of people who may have had no alternative source of financing, an issue that many people overlook is the tax implications from a successful Kickstarter campaign.
