Church Members Carrying Money to Foreign Mission Agency

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Question:
 Members of a local church recently went on a missiontrip. Part of the purpose of their trip was to carry a sum of cash to aforeign mission agency for use in its mission. This amount was donated by thehome church of the members. The individuals paid for their ownexpenses so that the entire donated amount was given to the mission agencyfor use in the field. Does the church need to issue Form 1099’s to theindividuals? Answer: No, the church does not need to issue Form 1099-MISC’s tothe individuals since the church, in effect, donated the money to another taxexempt organization. However, the church should receive documentation from the mission acknowledging receipt of the money. This ensures that all of the money was used by theforeign mission agency, and not by the individuals to cover travel expenses.
Some ministries provide cash tovolunteers for foreign travel. Careful documentation of personal travel, local transportation, meals andlodging expenses must be required of these volunteers. Further, any excessfunds must be returned to the church. Without these two conditions, the amountsrepresent taxable income, and would then need to be reported on a Form1099-MISC.