These are different from businesses in that they are tax-exempt, nonprofit associations, meaning they are exempt from federal or state taxes, income taxes or state sales or use tax. The number 501(c ) refers to the statute in the Internal Revenue Code (I.R.C.) that establishes their tax status. Such organizations can be religious, educational, charitable, literary, or scientific in nature. They can also include amateur sports leagues, the arts, and specific issue awareness.
In the state of Maryland, there is an organization that promotes the creation and cooperation of nonprofit organizations within the state. Maryland Nonprofits provides services, awareness, and information regarding creating your own nonprofit and networking with other similar associations in the state.