

Ask HN: Listing investor money on taxes? - waru

My company got money through Kickstarter.com to work on a project, but no one seems to have any idea how to list it on taxes. Just wondering what the standard procedure is for money received from investors/VCs, since that's the closest thing I can think of. Thank you in advance for any info.
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alain94040
I don't think money from KickStarter is investment money. It sounds like you
sold items, but haven't shipped them yet (of course). Investors would buy
stock, which is completely different.

So you probably should book income (which you can't recognize as revenue until
you have shipped it).

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waru
Thanks for replying. So income that is not revenue. That makes sense.

Some backers chose to receive nothing, though, so for them its not even a
transaction, just a donation, I guess. It's more complicated than just selling
items, even though it looks like that on the surface.

