Re: Issues re donating a flight in a fund-raising auction
M1900
Now that we have clarified that the beneficiary will not be a charity, you can put the AIC to one side, because, as feared, it is not relevant.
The problem with what you are now proposing ultimately comes down to the fact that you are advertising the flight and advertising for a passenger. A private arrangement in which you take a mate flying and either share costs, (or not as the case may be) would not normally fall foul of this.
In your case, the passenger will have responded to the advert, paid for the "flight" in the auction and the fact that you cover the costs yourself is irrelevant. You cannot circumvent this without quite deliberately flouting the law.
Why not simply donate the prize of a flight with a superb outfit like Ultimate High?