This article has the issue completely wrong from the first sentence. LLC and corporations are both organizational structures; either an LLC or a corporation can be a regular, tax-exposed operation, or a tax-exempt non-profit under the tax code (including a tax-exempt charity under 501(c)(3)). The fact that the Chan Zuckerberg Initiative is an LLC <i>does not</i> distinguish it from a non-profit; the fact (if it is a fact, and I can&#x27;t really see drawing a strong conclusion on that on the basis of an article that starts out from a premise that confuses organization structure with tax-exempt non-profit status -- but the other discussion in the article from other sources seems consistent with it being an LLC that is <i>not</i> intended as a tax-exempt non-profit) that it doesn&#x27;t comply with any of the categories for tax exemption and hasn&#x27;t applied for recognition as a tax-exempt non-profit would.<p>Really, a non-tax-exempt entity (whether LLC, corporation, or any other organizational structure) makes sense to coordinate philanthropic activities if you want to have flexibility that a 501(c)(3) wouldn&#x27;t have and, since the funds are all coming from you, you don&#x27;t need the incentive to donors that the tax-deductibility of donations to a 501(c)(3) would provide. If its a disregarded entity for tax purposes (which it can be with a sole owner or, IIRC, co-owners who are a married couple who file jointly), then anything the LLC donates to a 501(c)(3) has the same effect on the taxpayers liability as if the taxpayer had donated directly to the 501(c)(3). The same person could even establish one or more 501(c)(3) entities -- again, of any organizational structure, including LLCs -- through which to which the non-exempt LLC would donate funds for purposes that are within the scope of what is permitted for a 501(c)(3).