Are Charitable Donations to Recipients Taxable?
Thrivent Financial does not provide tax advice to recipients of funds from chapter activities. When questioned about taxability of proceeds, refer them to their tax preparer. Generally, funds raised by a Thrivent Financial chapter for an individual recipient would not be considered taxable income to the recipient for federal income tax purposes.
Section 102 of the Internal Revenue Code provides that the value of property acquired by gift is excluded from gross income. There are many rulings on what is and is not a "gift" for income tax purposes. However, a "gift" is generally described as "proceeds from a detached and disinterested generosity out of affection, respect, admiration, charity or like impulses."