We all know people that can truly say that they don't need to receive a gift at holiday time. I remember cleaning out my grandmother's apartment after she died and finding box after box of unused gifts that we had sent her over the years. Despite our good intentions, she just didn't need this stuff, but she was too frugal to get rid of it.
My answer to this has been to donate to charity in the gift recipient's name. A card letting them know that you were thinking of them and made a donation in their name, plus information on the organization is a nice touch.
Some of my favorites are: Seva, Heifer International, Habitat for Humanity, and Southeastern Guide Dogs (check out their puppy cam). I like to purchase gifts from an organization that sells free trade, handmade items: Ten Thousand Villages. Give the gift of giving this year and save someone from clutter.