I received a $250 Target gift card when I bought my iPhone at Target on AT&T monthly pmt plan. Should gift card be claimed on taxes, or is it a rebate on purchase price?

[kholford]

It's a 30-month payment plan with AT&T for the full retail price of the phone, with $0 down and 0% financing, and sales tax paid up front (during the purchase at Target). 

I would normally consider it a rebate on the purchase price from Target, if I was buying the item outright from them. But I wasn't sure, since Target gave the gift card on the purchase, but the entire purchase price was financed through the AT&T payment plan and service contract.

[Carl]

Gifts of less than $14,000 received in a tax year are not taxable or reportable on any tax return, ever. It's a gift. No different than when you give your dad a birthday present. He doesn't have to report it's value on any tax return.