Final answer:
When your agency achieves the status as a 501(c)(3) organization, it becomes a tax deductible organization, allowing individuals and businesses who donate to deduct the donated amount from their taxable income.
Step-by-step explanation:
When your agency achieves the status as a 501(c)(3) organization, you become a tax deductible organization. This means that individuals and businesses who donate to your organization can deduct the donated amount from their taxable income, resulting in potential tax savings. For example, if someone donates $100 to your 501(c)(3) organization and they are in the 25% tax bracket, they can deduct $100 from their taxable income, potentially saving them $25 in taxes.