The two exempt classifications of 501(c)(3) organizations are as follows:
A public charity, named by the Internal Revenue Service (IRS) as "not a private foundation", normally receives a substantial part of its income, directly or indirectly, from the public or from the government. The public support must be broad, not limited to individuals or families. Public charities are defined in the Internal Revenue Code under sections 509(a)(0) through 509(a)(4).
A private foundation, sometimes called a non-operating foundation, receives its income from investments and endowments. This income is used to make grants to other organizations, rather than being disbursed directly for charitable activities. Private foundations are defined in the Internal Revenue Code under section 509(a) as 501(c)(3) organizations, which do not qualify as public charities.
*Companies and individuals have the added benefit of donating crypto directly to the SkyToken
Foundation via the SkyToken Foundation Charity ERC-20 Wallet:
*Once the SkyToken Foundation 501c3 application is approved, direct donations will be 100% tax deductible. Please consult with a tax accountant to figure out caps and limits.