Understanding Estate Taxes
17. Give assets to charity
Giving assets to a charity is another way to remove assets from your estate and save estate taxes.
When you make gifts to qualified charities while you are living, you receive charitable income tax deductions that reduce your income taxes.
These gifts will not use up any of your federal gift/estate tax exemption.
And assets you leave to a charity after you die through your will or trust will not be included in your estate - they completely escape estate taxes.
There are many worthy causes out there that depend on gifts in order to continue their work. When you pay estate taxes, you have no voice in how Uncle Sam will use your money. But when you give directly to a charity, you decide whom your money will help.