The Abstraction and Reasoning Corpus (ARC) is a set of tasks that tests an agent's ability to flexibly solve novel problems. While most ARC tasks are easy for humans, they are challenging for state-of-the-art AI. How do we build intelligent systems that can generalize to novel situations and understand human instructions in domains such as ARC? We posit that the answer may be found by studying how humans communicate to each other in solving these tasks. We present LARC, the Language-annotated ARC: a collection of natural language descriptions by a group of human participants, unfamiliar both with ARC and with each other, who instruct each other on how to solve ARC tasks. LARC contains successful instructions for 88% of the ARC tasks. We analyze the collected instructions as 'natural programs', finding that most natural program concepts have analogies in typical computer programs. However, unlike how one precisely programs a computer, we find that humans both anticipate and exploit ambiguities to communicate effectively. We demonstrate that a state-of-the-art program synthesis technique, which leverages the additional language annotations, outperforms its language-free counterpart. * and † denote equal contributions Preprint. Under review.