Please read this article regarding third party SNT. Since this is set up as a Grantor Trust (Revocable Trust), "all items of income, deduction and credit are generally taxed to the individual(s) who created and funded the SNT (typically parents or other relatives of the beneficiary with a disability)". In this case, your wife may not have funded the trust but she did create it".
There is no gift tax return requirement for you if you do not contribute to the trust.
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
