Definition: Traditionally and legally, the word "charity" encompasses religion, education, and assistance to the government, promotion of health, relief of poverty or distress and other purposes that benefit the community.
Nonprofit organizations that are organized and operated to further one of these purposes generally will be exempt from federal income tax under Section 501(c)(3) of the Internal Revenue Code and will be eligible to receive tax-deductible charitable gifts.
Examples:
The charity provides free lunches to the indigent.
