It's income, just like any other income, and is subject to income tax in the US. If you're paid more than $20,000 and had more than 200 transactions, you'll get

It's income, just like any other income, and is subject to income tax in the US. If you're paid more than $20,000 and had more than 200 transactions, you'll get a 1099-K, but even if you don't, you still have to report it as income on your 1040s. Also, see these entries in Stripe's FAQ - you're not required to be a business to use stripe: https://support.stripe.com/questions/sole-proprietor-without-federal-ein https://support.stripe.com/questions/sole-proprietor-without... https://support.stripe.com/questions/do-crowdfunding-sites-need-to-be-in-the-united-states https://support.stripe.com/questions/do-crowdfunding-sites-n... AIUI, incorporation is mostly about limiting liability, and making it easier to sell off the business (or shares thereof) later. There are probably other advantages as well, but making it legal to accept payments at all isn't one of them.