When you redeem savings bonds, you typically pay income tax on the deferred interest.  Any savings bonds not redeemed before death will incur tax for either your estate or your beneficiary.  To bypass the tax burden, it is easy to add a codicil, a simple amendment, to your will or living trust leaving the bonds to Kindervelt of Cincinnati Children’s, a qualified charity that is exempt from paying income tax.  The hospital receives 100 percent of the value of the bonds