### Question
How is the term tax-exempt organization defined?


### Answer
The term **tax-exempt organization** is defined in *26 U.S.C. § 6711* as the following:

> any organization which—


(A) is described in subsection (c) or (d) of section 501 and exempt from taxation under section 501(a), or


(B) is a political organization (as defined in section 527(e))

#### Citation:
  - *26 U.S.C. § 6711*
  - Heading: **Subtitle F-Procedure and Administration > CHAPTER 68-ADDITIONS TO THE TAX, ADDITIONAL AMOUNTS, AND ASSESSABLE PENALTIES > Subchapter B-Assessable Penalties > PART I-GENERAL PROVISIONS**

