Section 501(c)(3) Organizations

Section 501(c)(3) organizations are nonprofit entities recognized by the IRS as charitable, educational, religious, scientific, or literary organizations. They operate to serve the public good rather than make profits for individuals. These organizations are tax-exempt, meaning they don't pay federal income taxes on donations or income related to their mission. Donors often receive tax deductions for contributions. Examples include charities, schools, religious groups, and healthcare organizations. To qualify, they must meet specific requirements, including restrictions on political activities and ensuring their activities primarily benefit the public.