Question:
Is it necessary to let the recipient of sadaqah know that it is sadaqah?
Answer: حامدا ومصليا ومسلما

If the person is eligible to receive sadaqah then it is not necessary to inform him that it is sadaqah. Rather if he is an eligible recipient, but feels ashamed to collect it, then it will be permissible to say, “It is a gift” once the intention in the heart is of sadaqah.

And Allah Ta’aalaa knows best
(Hazrat Mufti) Ahmed Khanpuri (May Allah preserve him)
Mahmoodul Fataawaa (2/80)