501(c)(3) Status

A 501(c)(3) status is an designation by the IRS for nonprofit organizations that serve the public good, such as charities, educational institutions, religious groups, or scientific organizations. This status allows these groups to be exempt from federal income tax and enables donors to deduct their contributions on taxes. To obtain and maintain this status, organizations must operate exclusively for approved purposes and follow specific rules. It helps ensure the organization’s resources are used for their mission rather than profit, fostering public trust and support.