Up until 2011, IRA owners age 70 1/2 were allowed to distribute from their IRAs up to $100,000 tax free as long as it was sent directly to a charitable organization. This was also retroactively restored for 2012 and is extended through 2013. This makes more sense for higher income folks -- some of their itemized deductions (for cash donations) will be lost because of the deduction phase out starting in 2013, but the IRA distribution to a charity would be 100 percent tax free.
(PRNewsFoto/ASPCA) More From MoneyWatch
: What the Fiscal Cliff Bill Means to Taxpayers 10 of the Most Outstanding Luxury Yachts 10 Cheapest Places to Live in the U.S. The opinions expressed are solely those of the author and do not necessarily reflect the views of Comcast.