For tax-exemption purposes, a veterans' organization is a group of members of the U.S. armed forces. At least 75 percent of the organization must be made up of past or present members of the armed forces. A veterans' organization's purpose must fall within the IRS's list of approved functions. Eligible activities include:
- Assisting disabled veterans or their dependents, widows or orphans
- Providing care to hospitalized veterans
- Supporting programs that memorialize deceased veterans
- Providing recreational activities for veterans
- Offering insurance benefits for veterans or their dependents
- Participating in activities the IRS deems "of a patriotic nature"