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Types of Tax-Exempt Organizations – Etax990N

Tax exemption is a reduction in the taxes, which is usually enforced on the individuals and organizations by state and federal governments. To attain a tax-exempt status, an organization should meet certain criteria that are defined by the U.S Internal Revenue Code (IRC). Organizations that receive tax exemptions from the taxes under the IRC are churches, trusts, charities and any other organizations which are functioned for the tax-exempt purposes. Let us check various types of organization which is listed below.

Type of Organization I. R. C. Section Nature of Activities
Benevolent Life Insurance Assoc. Mutual Ditch or Irrigation Companies, Mutual or Cooperative Telephone Companies, Etc 501(c)(12) Activities of a mutually  beneficial nature equal to that of the those implied by the description of class of organization.
Black Lung Benefits Trusts 501(c)(21) Funded by coal mine operators to satisfy their liability for disability or death due to black lung diseases
Business Leagues, Etc 501(c)(6) Improving one or more lines of business.
Cemetery Companies 501(c)(13) Incidental activities and burials
Charitable, Religious, Educational, Scientific, etc. Organizations 501(c)(3) Description of class of the organization implies activities of the nature.
Child Care Organizations 501(k) To provide care for the children
Civic Leagues and Social Welfare Organizations 501(c)(4) Community, educational, recreational or charitable  welfare promotion
Cooperative Hospital Service Organizations 501(e) Performs cooperative services for the hospitals
Cooperative Organizations To Finance Crop Organizations 501(c)(16) Financing crop operations in conjunction with activities of a marketing or purchasing association
Cooperative Service Organizations of Operating Educational Organization. 501(f) Performs combined investment services for educational organizations
Corporations Organized Under Act of Congress 501(c)(1) Instrumentalities of the U. S.
Employee Funded Pension Trusts (Create Before 6/25/59) 501(c)(18) Payments under a pension plan funded by the employees.
Farmers’ Cooperative Associations 521(a) Cooperative promoting and buying for agricultural producers
Fraternal Beneficiary & Domestic Fraternal Soc. & Associations 501(c)(8) & (10) Lodge providing payment of accident, sickness, life, or other benefits to the members.
Labor, Agricultural, and Horticultural Organizations 501(c)(5) Purpose to improve the conditions of work and to improve the products and efficiency.
Mutual Insurance Companies or Associations 501(c)(15) To provide insurance to the members for the cost
Organizations of Past or Present Members of the Armed Forces 501(c)(19) & (23) Activities implied by the nature of the organization.
Political Organizations 527 na
Religious and Apostolic Associations 501(d) Common business activities.
Social and Recreation Clubs 501(c)(7) Recreation, pleasure and social activities.
State Chartered Credit Unions, Mutual Reserve Funds 501(c)(14) Loans to the members
State-Sponsored High-Rish Health Coverage Organizations 501(c)(26) Gives health care coverage to high-risk individuals
State-Sponsored Worker’s Compensation Reinsurance Organization 501(c)(27) Reimburses losses to the members under compensation acts of the workers.
Supplemental Unemployment Benefits Trusts 501(c)(17) Gives payment of supplemental unemployment benefits.
Teachers’ Retirement Fund Associations 501(c)(11) For the payment of teachers retirement benefits.
Title Holding Corporations for Exempt Organization 501(c)(2) To hold the title to the property of an organization.
Title Holding Corporations or Trust 501(c)(25) To hold title and to pay over income from property to 35 or less parents or beneficiaries.
Voluntary Employees Beneficiary Associations 501(c)(9) To provide the payment of life, accident, sickness or other benefits to the members
Withdrawal Liability Payment Funds 501(c)(22) Providing funds to meet the liability of the employers to withdraw from a multi-employer pension fund

 

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