Mishnah Berurah — משנה ברורה

He makes the blessing on it - And there are those who are stringent and hold that he should not make the blessing unless [the owner] gave it to him explicitly as a present with the condition that it be returned [after]. However, the majority of the later rabbinic authorities agree with the ruling of the Shulchan Aruch. And the reason is [that the owner] had in mind when he lent it to him that he (ie. the borrower) would make the blessing on it, and since it's impossible for him to make the blessing on it unless it belongs to him, it's [considered] as if he (ie. the owner) gave it to him as a present on condition that it be returned [after]. But optimally, it is certainly better to ask the owner to give it to him as a present on condition that it be returned [after], but [not doing so] does not prevent one [from making the blessing]. And [this is] specifically if he borrowed a טלית that's designated for the mitzvah [of ציצית], but if it's [just] a garment that's meant for wearing and only due to the majority of it being open (ie. like a tallit kattan where the slits under the arms are open) did they make ציצית for it, and it wasn't made for the mitzvah of ציצית, or if he borrowed a טלית to go up to the Torah (ie. he received an aliyah) or to lead the prayers for the congregation or [if he's a Cohen] to give the Priestly blessings (ie. "duchan") which [in all those cases] is only [worn] for the honor, we don't make the blessing on it; because maybe his (ie. the owner's) intention was to lend it only to be worn, and not to transfer ownership to him. And there are those who argue on this and they hold that in all circumstances we make the blessing. Therefore, it's written in Derech Chaim, that its better that he (the borrower) should have in mind that he is not acquiring it in order that he shouldn't have to make the blessing on it according to all opinions; except for a טלית that he borrowed during prayers in order to fulfill his obligation. And all of this is in regards to a טלית that belongs to an individual. But regarding communal טליתות, like those found in our synagogues, all opinions agree that one needs to make a blessing on them, even if he is only wearing it in order to lead the prayers for the congregation or to go up to the Torah (ie. for an aliyah), because [when it comes to] a communal טלית, the intent when they originally bought it is that anyone who wears it, it should be his [in order to fulfill the mitzvah], just like by an etrog. And see further what we wrote in Biur Halacha in the name of the Shaarei Efraim.