Comment by saurik

So, if he is required to send out the rewards (even if the project failed, which it sounds like it must have, if people feel the funds were misused; to be clear, my understanding is that the Kickstarter was for a better game than the original Code Hero I said was possibly released), then Kickstarter is no longer a crowd-funded donation system for speculative investing and is a way to avoid collecting sales tax for purchases of physical goods (or custom software, such as "a special version with X", which is also often subject to sales tax).