I'd add that if someone asks you to send payment as a gift, you ("you" in general, not being specific here) might want to consider politely declining and explaining your reason why. I personally will not conduct a transaction with anyone who refuses to accept payment as "goods"; I'm fine with paying extra to cover the fees, but please don't insist that payment be sent as a gift.
This "issue" has come up a few times before, unfortunately, because some people have had problems getting refunded when they sent payments as gifts.
I hope your situation works out, seamonster!