Types of NPO: IRS classification
IRS classifies non-profit organizations into 32 categories each with several sub categories. (See: Table below).
These categories/sub categories have been mentioned in the IRS code under sections 501(c)(1) up to section 501(c)(27) and under sections 501(d) – 501(n).
| Section of 1986 Tax Code | Description of organization | General nature of activities |
| 501(c)(1) | Corporations Organized Under Act of Congress (including Federal Credit Unions) | Instrumentalities of the United States |
| 501(c)(2) | Title Holding Corporation For Exempt Organization | Holding title to property of an exempt organization |
| 501(c)(3) | Religious, Educational, Charitable, Scientific, Literary, Testing for Public Safety, to Foster National or International Amateur Sports Competition, or Prevention of Cruelty to Children or Animals Organizations | Activities of nature implied by description of class of organization.Further classified as:
Private foundations or Public Charity organizations |
| 501(c)(4) | Civic Leagues, Social Welfare Organizations, and Local Associations of Employees | Promotion of community welfare; charitable, educational or recreational |
| 501(c)(5) | Labor, Agricultural, and Horticultural Organizations | Educational or instructive, the purpose being to improve conditions of work, and to improve products and efficiency |
| 501(c)(6) | Business Leagues, Chambers of Commerce, Real Estate Boards, Etc. | Improvement of business conditions of one or more lines of business |
| 501(c)(7) | Social and Recreation Clubs | Pleasure, recreation, social activities |
| 501(c)(8) | Fraternal Beneficiary Societies and Associations | Lodge providing for payment of life, sickness, accident, or other benefits to members |
| 501(c)(9) | Voluntary Employees’ Beneficiary Associations | Providing for payment of life, sickness, accident or other benefits to members |
| 501(c)(10) | Domestic Fraternal Societies and Associations | Lodge devoting its net earnings to charitable, fraternal, and other specified purposes. No life, sickness, or accident benefits to members |
| 501(c)(11) | Teachers’ Retirement Fund Associations | Teachers’ association for payment of retirement benefits |
| 501(c)(12) | Benevolent Life Insurance Associations, Mutual Ditch or Irrigation Companies, Mutual or Cooperative Telephone Companies, Etc. | Activities of a mutually beneficial nature similar to those implied by the description of class of organization |
| 501(c)(13) | Cemetery Companies | Burials and incidental activities |
| 501(c)(14) | State Chartered Credit Unions, Mutual Reserve Funds | Loans to members |
| 501(c)(15) | Mutual Insurance Companies or Associations | Providing insurance to members substantially at cost |
| 501(c)(16) | Cooperative Organizations to Finance Crop Operations | Financing crop operations in conjunction with activities of a marketing or purchasing association |
| 501(c)(17) | Supplemental Unemployment Benefit Trusts | Provides for payment of supplemental unemployment compensation benefits |
| 501(c)(18) | Employee Funded Pension Trust (created before June 25, 1959) | Payment of benefits under a pension plan funded by employees |
| 501(c)(19) | Post or Organization of Past or Present Members of the Armed Forces | Activities implied by nature of organization |
| 501(c)(20) | Group Legal Services Plan Organizations | n/a |
| 501(c)(21) | Black Lung Benefit Trusts | Funded by coal mine operators to satisfy their liability for disability or death due to black lung diseases |
| 501(c)(22) | Withdrawal Liability Payment Fund | To provide funds to meet the liability of employers withdrawing from a multi-employer pension fund |
| 501(c)(23) | Veterans Organization (created before 1880) | To provide insurance and other benefits to veterans |
| 501(c)(25) | Title Holding Corporations or Trusts with Multiple Parents | Holding title and paying over income from property to 35 or fewer parents or beneficiaries |
| 501(c)(26) | State-Sponsored Organization Providing Health Coverage for High-Risk Individuals | Provides health care coverage to high-risk individuals |
| 501(c)(27) | State-Sponsored Workers’ Compensation Reinsurance Organization | Reimburses members for losses under workers’ compensation acts |
| 501(d) | Religious and Apostolic Associations | Regular business activities. Communal religious community |
| 501(e) | Cooperative Hospital Service Organizations | Performs cooperative services for hospitals |
| 501(f) | Cooperative Service Organizations of Operating Educational Organizations | Performs collective investment services for educational organizations |
| 501(k) | Child Care Organization | Provides care for children |
| 501(n) | Charitable Risk Pools | Pools certain insurance risks of 501(c)(3) |
| 521(a) | Farmers’ Cooperative Associations | Cooperative marketing and purchasing for agricultural producers |
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