Benefit adult male without insurance

[Bjorn]

What is the best way to handle this fact pattern?

Andy has cancer and the Civic Club raised 50,000 on his behalf. Can they just give it to him without any tax reporting?

They plan on paying many of his bills directly so that would not be as big of an issue.

I"m looking to avoid any problems with our good friends at IRS.

Mahalo.
Bjorn

[Bees Knees]

Yes, they can "gift" the money to him. It would be considered a non-taxable gift, as long as he doesn't in turn provide some kind of service to them in exchange for the money.

Whether or not those who donated to the cause can take a charitable contribution deduction is another matter. The Civic Club itself would have to be a charitable organization. You can't just raise money for someone with cancer and call it a charitable organization without jumping through all the 501(c)(3) rules.