Any money earned by a non-profit organization must be retained by the organization, and used for its own expenses, operations, and programs. Many non-profit organizations also seek tax exempt status, and may also be exempt from local taxes including sales taxes or property taxes. Well-known non-profit organizations include Habitat for Humanity, American Red Cross, and United Way.
Also called not-for-profit organization.
Use this term in a sentence
“ My partner and I finally decided that we wanted to form a non-profit organization after discussing what our goals for the future were. ”
“ National Wildlife Federation is a non-profit organization that helps endangered wildlife and preserve it while also educating others of the importance of nature. ”
“ In order to reverse the contraction of the print news business in the late 2000s, Senator Ben Cardin of Maryland introduced a bill that would ease the process for a newspaper to become a non-profit organization, which would greatly reduce or eliminate the tax liability for the newspaper. ”