I'm intending to run a crowdfunding campaign at the beginning of next year, for a project that will take a number of years to complete. I want to try to understand a little more about how any income earned from that would be affected by tax.
Specifically, I'm based in the UK and I'm a self-employed individual, not associated-with or an owner of any company. My knowledge of accounts is limited, so if anyone is kind enough to provide an answer, it would be greatly appreciated if you could keep things as jargon-free as possible.
My question, specifically:-
If I were to secure funding of (for example) £100,000, and these funds were intended to cover my own wages and project expenses over a 3-year development period, would it be possible to be taxed at £33,333 per year, or would I have to be taxed on the full amount (at the higher tax bracket) during the year in which those funds were raised?
Thanks in advance for any thoughts.