Allow customers to return a gift as an exchange or store credit.
Where to find it
Settings > Returns > Policies, under Advanced Settings.
[Screenshot: Policies tab — Gift returns toggle]
What this is
When enabled, gift recipients can return items they didn't purchase. Gift returns differ from standard returns in three ways:
No refunds. A refund would go back to the purchaser's payment method, so gift returns resolve as store credit or an exchange only.
Credit goes to the recipient, not the purchaser.
Both parties are visible on the return in your dashboard.
What the customer sees
A "Returning a gift?" link appears on the portal's order lookup screen. The recipient enters the order number along with their own email or postal code, rather than the purchaser's details:
[Screenshot: Return portal — order lookup with "Returning a gift?" link]
[Screenshot: Return portal — "I don't have this" order lookup form]
Caveats
Gift returns cluster in late December and January. If you enable this, consider pairing it with an extended return window exception for orders placed in November and December, so gifts bought early are still returnable after the holidays.
Related settings
Store Credit and store credit bonus — the resolution most gift returns take
Allow exchanges — the other resolution available to gift recipients