It’s been almost a year since the JOBS Act was signed.
10 thoughts on “Crowdfunding”
Well they sure as hell aren’t actually implementing it, as they’ve already blown the deadlines that should have brought the crowd funding bill into force, despite being legally mandated to do so.
Of course they will. After all its a major paradigm shift and regulators don’t do well with paradigm shifts. Look at how the USDA is still using decades old techniques for food inspection.
So use it while its still available and be very, very careful to document you did what you promised or the Feds will probably “request” you return it.
Let me get this straight. People, of their own choice, gives sums that are usually $100 or less to a cause they believe in… how is this any of the governments business?
Ken,
Never underestimate the ability of bureaucrats or regulators to meddle 🙂
First they will “rule” its investing, not donations, then it will go downhill from there…
Or even worst, they will agree with you and rule its a “gift”, in which case the IRS smiles and puts its hand out 🙂
5/23/2012 @ 12:41PM
Kickstarter’s Sting In The Tail: Tax
[[[If I have a worry about the runaway successes we’ve seen recently on Kickstarter, the latest of which is the $10.2 million raised by e-ink watch Pebble, it’s that project owners could end up suffering because of the sheer scale of their success. One particularly important issue, which has gone largely undiscussed in the crowdfunding community, is tax.]]]
Yes, bureaucrats and regulators don’t deal well with change, they have no policy or pigeon holes for it 🙂
Yes, bureaucrats and regulators don’t deal well with change, they have no policy or pigeon holes for it
Sounds to me like they like to roundfile it.
As I see it, the SEC serves two purposes. First, to create an anti-competitive, oligopoly environment for existing brokerages and such, and to provide the illusion of security for potential investors.
Karl,
You have it exactly. Why do you think Bernie Madloff got to run free for so long?
Never underestimate the ability of bureaucrats or regulators to meddle
Do I ever? This is me you’re talking to Thomas. I remember it used to be you could give up to $10k as a gift per person and not have the IRS involved. They’ve probably changed that as well.
Ken,
Probably. And if you made anything off you kickstarter donation they would probably want capital gains on it 🙂
Pro Tip: never give money to a crowd funding campaign where the results are so far in the future that you may never see it.
For Kickstarter, a good way to ensure this is to simply look at the rewards. If one of them is the product, and you sign up for that level of reward, chances are you’ll notice if they don’t deliver.
Speaking of which, Rand, where’s my book damn it?
Trent, were you unaware that Rand is a Nigerian prince?
Well they sure as hell aren’t actually implementing it, as they’ve already blown the deadlines that should have brought the crowd funding bill into force, despite being legally mandated to do so.
Of course they will. After all its a major paradigm shift and regulators don’t do well with paradigm shifts. Look at how the USDA is still using decades old techniques for food inspection.
So use it while its still available and be very, very careful to document you did what you promised or the Feds will probably “request” you return it.
Let me get this straight. People, of their own choice, gives sums that are usually $100 or less to a cause they believe in… how is this any of the governments business?
Ken,
Never underestimate the ability of bureaucrats or regulators to meddle 🙂
First they will “rule” its investing, not donations, then it will go downhill from there…
Or even worst, they will agree with you and rule its a “gift”, in which case the IRS smiles and puts its hand out 🙂
http://www.forbes.com/sites/suwcharmananderson/2012/05/23/kickstarters-sting-in-the-tail-tax/
5/23/2012 @ 12:41PM
Kickstarter’s Sting In The Tail: Tax
[[[If I have a worry about the runaway successes we’ve seen recently on Kickstarter, the latest of which is the $10.2 million raised by e-ink watch Pebble, it’s that project owners could end up suffering because of the sheer scale of their success. One particularly important issue, which has gone largely undiscussed in the crowdfunding community, is tax.]]]
Yes, bureaucrats and regulators don’t deal well with change, they have no policy or pigeon holes for it 🙂
Yes, bureaucrats and regulators don’t deal well with change, they have no policy or pigeon holes for it
Sounds to me like they like to roundfile it.
As I see it, the SEC serves two purposes. First, to create an anti-competitive, oligopoly environment for existing brokerages and such, and to provide the illusion of security for potential investors.
Karl,
You have it exactly. Why do you think Bernie Madloff got to run free for so long?
Never underestimate the ability of bureaucrats or regulators to meddle
Do I ever? This is me you’re talking to Thomas. I remember it used to be you could give up to $10k as a gift per person and not have the IRS involved. They’ve probably changed that as well.
Ken,
Probably. And if you made anything off you kickstarter donation they would probably want capital gains on it 🙂
Pro Tip: never give money to a crowd funding campaign where the results are so far in the future that you may never see it.
For Kickstarter, a good way to ensure this is to simply look at the rewards. If one of them is the product, and you sign up for that level of reward, chances are you’ll notice if they don’t deliver.
Speaking of which, Rand, where’s my book damn it?
Trent, were you unaware that Rand is a Nigerian prince?