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What Is A Charitable Organization?

Charitable organization is a kind of institution or a business that falls under the category of NPO or non-profit organization. It can be run privately as well as publicly. This type of organization is often called a foundation or charity. It can be based on educational, religious or even based on public interest activities. The law and regulation of the charity is dependent on the country or the region where it has been established and operated. A charity is something which is gifted or donated to an organization or an individual to help them or to benefit them.

This is generally gifted to make sure that it will help the person and get some kind of relief or for their education and advancement. There are many people around the world who are still under poverty. For this they cannot get a proper treatment or provide proper education to their children. This leads to the increase of poverty as well as illiteracy. Even there are many states that are affected by natural disasters. Charitable organizations are also meant to provide them shelter, foods and many other necessary items.

Procedure For Operating

The procedure for forming and operating a charitable organization varies from one state to another state or even from one country to another country. You have to know the laws and factors required in your state or country to form a charitable entity. Requirements for registration and filing can vary from one state to another and thus consulting and taking a legal advice is also important in this case. This organization is not meant to benefit any single person or for individuals.

To run a charitable organization it is important for the entity to apply for tax exempt status before being an official organization. This is a very important thing for the charitable organizations and in order to qualify and maintain this you have to do the needful. Even after approval, the organization has to file with IRS every year and pay the unrelated employment and business tax. Only the donations that are done to charitable organization are qualified for the tax-deductibility.

Private And Public Organizations

Some charitable organizations operate as private organization and some are public ones. The private foundations get their funds via a family, corporation, individual or any financial source. They mainly use their donation funds for providing grants to the individuals who need it or to the organizations involved in charitable activities. 

On the other hand, public organizations get their grants from the state or central Government as well as from the individuals and private organizations. Public organizations help in many activities. For instance the public organizations in US are American Cancer Society, World Wildlife Fund and many other services. They seek contribution usually from the government. It can be hospitals, churches, institutes for medical researches etc. 

Different Types Of Activities

There are different kinds of activities of the charitable organizations. Some of them are those who offer relief to the needy people who are in distressed, poverty or underprivileged. There are also some who are related to educational, scientific or religious affiliations. Some of the activities of charitable organization also include the creation of public building and monuments and take care of them. All these are done by the donations that a charitable organization gets. 

They also help to combat against deterioration of the community and do social service for the betterment of the people. They also fight for the safety of public, civil rights, children safety and their rights and also help to remove the discrimination and prejudice from the society. The charitable organizations are always there to help the needy people who need help and provide them a safer surrounding to live a better life.


Nowadays there are many charitable organizations establishing around the world. But all are not legal or genuine. Before choosing the right charitable organization for donating or gifting something you have to make sure that the organization is genuine and reliable. Internet provides you all types of information and so you can browse through internet and find out what are the works done in past by any particular organizations. If the organization has a great past record and has helped many, then surely you can go ahead and donate. The works by a charitable organization is for a good cause.