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  2. A 501(c)(3) organization is a United States corporation, trust, unincorporated association or other type of organization exempt from federal income tax under section 501(c)(3) of Title 26 of the United States Code. It is one of the 29 types of 501(c) nonprofit organizations in the US.

  3. A 501(c)(3) nonprofit organization is generally a business entity that adds to the public good. The name comes from section 501(c)(3) of the IRS tax code, which defines the primary purposes of an organization that may qualify it for exemption from federal income tax liability.

  4. Mar 9, 2024 · Suzanne Kvilhaug. Investopedia / Mira Norian. What Is a 501 (c) (3) Organization? Section 501 (c) (3) is a portion of the U.S. Internal Revenue Code (IRC) and a specific tax...

    • Julia Kagan
    • 1 min
  5. Aug 3, 2022 · The most common include: 501 (c) (1): Any corporation that is organized under an act of Congress that is exempt from federal income tax. 501 (c) (2): Corporations that hold a title of...

    • Troy Segal
    • 1 min
  6. Section 501 (c) (3) is the portion of the US Internal Revenue Code that allows for federal tax exemption of nonprofit organizations that meet the code’s requirements. These nonprofits may be considered public charities, private foundations, or private operating foundations, which we’ll explain in more detail later.

  7. There are various types of nonprofit exemptions, such as 501(c)(3) organizations that are a religious, charitable, or educational-based organization that does not influence state and federal legislation, and 501(c)(7) organizations that are for pleasure, recreation, or another nonprofit purpose.

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