Congress's New Year's Day tax session revived a helpful gimmick that had expired, and even made it retroactive: anyone 70 1/2 years old can make direct transfers from their IRA to public charities of up to $100,000 tax-free! The tax break was revived for both the 2012 and 2013 tax years. Just as last time this break was extended so late, individuals were given until January 31 of the following year to make a transfer.

This is a good deal. The direct transfer allows you to avoid taxes at your full tax rate on the amount transferred from the IRA - worth more tax wise than a charitable deduction.

The money must come directly from the IRA account, not through your own checking account. In a letter of instruction, tell your IRA custodian the dollar amount you want to transfer and the charity's bank information: bank name, federal wire routing number, account number and name on account.

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