Can we pay for alcohol with 501(c)(3) funds?

There is nothing in the tax law that prohibits serving alcoholic beverages as part of a meal for the Board of a charity. If anything is being given to Board members, you always have to consider the possibility of an excess benefit transaction, but the questions are not of a different character because of the alcohol. (See Ready Reference Page: “Charities Must Avoid Excess Benefit Transactions.”)