A nonprofit organization with 501(c)(3) designation differs from other nonprofits in that the 501(C)(3) nonprofit organization because it " enjoys local, state, and federal tax exemptions."
This is evident based on what the section of the clause says, which states that "the IRS has fully recognized nonprofit organization under 501(c)(3) as a tax-exempt organization due to its charitable programs which are stated under 501(c)(3) – 501(c)(27).
Usually, an ordinary nonprofit organization is defined as an organization made for nonprofit purposes.
IRS is the acronym for internal revenue service, the organization charged with the collection of taxes.
Hence, in this case, it is concluded that the correct answer is option C. "enjoys local, state, and federal tax exemptions."
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