501(c)(3) definition - finance The section in the Internal Revenue Service tax code that describes the criteria an organization has to meet in order to receive tax-exempt status; such an organization is a 501(c)(3) organization. The organization may be charitable or religious, or it may be set up to promote common interests, such as the environment or running. One advantage of being classified as a 501(c)(3) is that donors can deduct their contributions from their income taxes.
I don’t get your point. They are a 501(c)(3) public charity. The ticket price is deductible to the extent of that part with goes to nonprofit purposes. The corporation has the responsibility to tell the ticket purchaser how much that amounts to.
The operative definition of “nonprofit” is that there can be no distribution of profits to directors or other stakeholders.
Sorry if this doesn’t address what you were saying.