An organization whose primary purpose is to engage in a regular business of a kind ordinarily carried on for a profit is not a business league, and does not qualify for exemption under Internal Revenue Code section 501(c)(6). For example, the following have been found to be non-exempt business activities:
- Testing the safety of electrical products for commercial enterprises
- Selling credit information and collection services
- Employment agency
- Providing commercial towing services for members of an automobile association
- Laboratory services that are an organization's principal activity and only source of income
- Providing insurance
- Selling television advertising rights
Additional information
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