To qualify for 501(c)(3) tax exemption you must be organized and operated exclusively for one or more of the following purposes:
- Charitable
- Religious
- Educational
- Scientific
- Literary
- Testing for public safety
- To foster national or international amateur sports competition
- Prevention of cruelty to children or animals
In addition to your purpose, to qualify for 501(c)(3) tax exemption, you must also:
- Refrain from supporting or opposing candidates in political campaigns in any way
- Ensure that your net profits do not disproportionately benefit any private shareholders or individuals (board members, officers, key management employees, or insiders)
- May not substantially benefit any personal-interest or non-exempt purposes
- May not be organized or operated to conduct a trade or business not related to your exempt purposes
- May not devote substantial attention to attempting to influence legislation (lobbying).
- May not provide commercial insurance as a substantial part of your activities.