They are registered as a 501(c)(3) which is what people commonly call a public charity.
> Organizations described in section 501(c)(3) are commonly referred to as charitable organizations. Organizations described in section 501(c)(3), other than testing for public safety organizations, are eligible to receive tax-deductible contributions in accordance with Code section 170.
> They are registered as a 501(c)(3) which is what people commonly call a public charity.
TIL "public charity" is specific legal term that only some 501(c)(3) qualify as. To do so there are additional restrictions, including around governance and a requirement that a significant amount of funding come from small donors other charities or the government. In exchange a public charity has higher tax deductible giving limits for donors.
> They are registered as a 501(c)(3) which is what people commonly call a public charity.
Why do they do that? Seems ridiculous on the face of it. Nothing about 501(c)(3) entails providing any sort of good or service to society at large. In fact, the very same thing prevents them from competing with for-profit entities at providing any good or service to society at large. The only reason they exist at all is that for-profit companies are terrible at feeding, housing, and protecting their own labor force.
voxic11|2 years ago
> Organizations described in section 501(c)(3) are commonly referred to as charitable organizations. Organizations described in section 501(c)(3), other than testing for public safety organizations, are eligible to receive tax-deductible contributions in accordance with Code section 170.
https://projects.propublica.org/nonprofits/organizations/810...
shkkmo|2 years ago
TIL "public charity" is specific legal term that only some 501(c)(3) qualify as. To do so there are additional restrictions, including around governance and a requirement that a significant amount of funding come from small donors other charities or the government. In exchange a public charity has higher tax deductible giving limits for donors.
baking|2 years ago
https://www.irs.gov/charities-non-profits/eo-operational-req...
plorg|2 years ago
Suggests GP is not making a legal distinction, it's a description of how they are actually running things.
dragonwriter|2 years ago
BanTheBastards|2 years ago
Why do they do that? Seems ridiculous on the face of it. Nothing about 501(c)(3) entails providing any sort of good or service to society at large. In fact, the very same thing prevents them from competing with for-profit entities at providing any good or service to society at large. The only reason they exist at all is that for-profit companies are terrible at feeding, housing, and protecting their own labor force.