Definition Non Profit Corporation

Domestic nonprofit corporation means a corporation organized or existing formed under the uniform nonprofit corporation act articles 20 to 29 of this title articles 40 to 52 of this title and the or subject to article 40 or the colorado revised nonprofit corporation act articles 121 to 137 of this title.

Definition non profit corporation. An organization incorporated under state laws and approved by both the state s secretary of state and its taxing authority as operating for educational charitable social religious civic or humanitarian purposes. Also there are several more 501 nonprofit types with various designations such as 501k and 501n which are also tax exempt. A nonprofit corporation is a special type of corporation that has been organized to meet specific tax exempt purposes. How it works.

Some nonprofit corporations have irs tax exempt status. To qualify for nonprofit status your corporation must be formed to benefit. A nonprofit organization npo also known as a non business entity not for profit organization or nonprofit institution is an organization traditionally dedicated to furthering a particular social cause or advocating a shared point of view. A nonprofit can raise funds by receiving public and private grant money and donations from individuals and companies.

Or any functionally equivalent entity formed under any subsequently enacted statute of this state. A nonprofit corporation is any legal entity which has been incorporated under the law of its jurisdiction for purposes other than making profits for its owners or shareholders. Nonprofit corporations contrary to their name can. Instead nonprofits are formed for charitable literary scientific religious and other activities.

The irs recognizes 27 types of nonprofit organizations as 501 c organizations. 1 the public 2 a specific group of individuals or 3 the membership of the nonprofit. Nonprofit corporations are regulated under section 501 c of the internal revenue code. A business organization that serves some public purpose and therefore enjoys special treatment under the law.