An AI model extracted this from the bill’s official record and can make mistakes. Check the official text ↗ (opens in new tab)

An AI model extracted this from the bill’s official record and can make mistakes. Check the official text ↗ (opens in new tab)

Tax-exempt organization

A group, like a charity, school, or social club, that doesn't have to pay federal income taxes on its earnings because it meets certain legal requirements and serves a public purpose.

Board of directors

The group of people who are chosen to manage and oversee the activities of an organization, like a non-profit or a company.

Internal Revenue Code of 1986

The official set of laws in the United States that governs federal taxes.

501(c)(3) organization

A type of tax-exempt non-profit, typically charities, educational institutions, or religious groups, to which donations are usually tax-deductible for donors. Churches are a specific type of 501(c)(3) organization.

501(c)(4) organization

A type of tax-exempt non-profit organized for social welfare, such as civic leagues or neighborhood associations. Donations to these are generally not tax-deductible.

501(c)(6) organization

A type of tax-exempt non-profit that promotes the common business interests of its members, like chambers of commerce or business leagues.

Covered nation

A foreign country that has been specifically identified in another section of the federal tax code (section 7701(a)(51)(I)(ii)) as subject to certain restrictions or concerns.