A great fanfic in this pairing often has a deep understanding of the characters. For example, getting Mytho's complex nature right, his journey from being a broken - hearted prince to finding himself again. And for Princess Tutu, her selfless love and determination. The plot should also be engaging, perhaps exploring their relationship in new and unexpected ways, like how they deal with new threats in the story world that weren't in the original anime.
You can start by looking on fanfiction websites like Archive of Our Own (AO3). There are often a lot of dedicated writers in the Princess Tutu fandom who create great fanfics about Princess Tutu and Mytho. Another place could be Fanfiction.net, though AO3 generally has more diverse and inclusive content. Some Tumblr blogs also reblog and recommend good fanfics in this category.
A possible crossover could involve the villains. The sea witch from The Little Mermaid might be intrigued by Princess Tutu's powers. She could try to steal Tutu's ability to transform things with her dance. This would create a conflict where Tutu has to use her grace and the support of her friends, just like in her own story, to outwit the sea witch.
The 'Fakir of Venice' real story could be about a fakir who travels to Venice. It could be that he goes there to spread his spiritual teachings or is on a personal pilgrimage of sorts. He might face challenges as Venice has its own unique culture and religious traditions. There could be elements of him trying to find a place within this new society while still holding on to his fakir identity.
Redemption is a theme that can be found as well. Characters who have made mistakes in the past strive to make up for it. They try to right their wrongs and become better. This theme gives the characters depth and makes the stories more engaging as we see their growth.
In such a fanfiction, perhaps the duck could be attacked by a dark force while the characters from Princess Tutu are trying to save it. But it gets hurt real bad before they can fully protect it.
Yes, there might be some. You can check on various fanfiction websites like Archive of Our Own or FanFiction.net. Just search for 'Fakir and Ahiru' and then look through the results for stories that might include a kiss scene.
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The description in a good fanfic is crucial. It needs to vividly describe their emotions and their relationship. For instance, when Fakir finally realizes his true feelings for Ahiru, the fanfic should be able to convey that moment of realization in a very touching and believable way. This might involve detailed descriptions of his facial expressions, his thoughts, and the way he behaves towards Ahiru.