The letter must explain who is gifting the money, where the donor's funds are coming from and the relationship between the donor and the recipient. Form 7 reflects financial activity during each account reporting period after the Conservator's Account.Your parents will need to file the proper forms with IRS declaring the gift. So no potential consequences of gift tax. You may use the forms and instructions in this packet if . . . A mortgage gift letter is a statement that assures your lender the money that came into your account is a gift and not a loan.