Note: The articles of organization must limit the purpose of the entity to the charitable purpose. "Annual information returns" are not required for all exempt organizations. Choice "B" is correct. The organizational test to qualify as a public service entity as tax exempt only requires the articles of organization to limit the purpose of the entity to the charitable purpose, but not state that an information return should be filed annually with the Internal Revenue Service.
Choices "a", "c", and "d" are incorrect, per the above explanation.
