Is giving gifts on Eid an innovation (bid‘ah)?

There is nothing wrong with giving gifts on Eid al-Fitr and Eid al-Adha to family and relatives, because these are days of joy and happiness on which it is mustahabb to uphold ties, show kindness, and eat and drink plenty. This is not bid‘ah; rather it is something that is permissible and a good custom that is one of the symbols of Eid. Hence it is not allowed to give gifts and express joy and happiness on innovated occasions on which it is not prescribed to celebrate, such as New Year, the Mawlid (Prophet’s birthday) and the fifteenth of Sha‘baan (an-nusf min Sha‘baan), because this makes them like Eids.

Shaykh Ibn ‘Uthaymeen (may Allah have mercy on him) said: On this Eid people also exchange gifts, i.e., they make food and invite one another to come and eat, and they get together and celebrate. There is nothing wrong with this custom because these are days of Eid. When Abu Bakr (may Allah be pleased with him) entered the house of the Messenger of Allah (blessings and peace of Allah be upon him) and found with him two young girls who were singing on the days of Eid, he rebuked them, but the Prophet (blessings and peace of Allah be upon him) said: “Let them be.” And he did not say it because they were young girls. Rather he said: “Let them be, for these are the days of Eid.”

This indicates that Islam, with its tolerant and easy-going attitude, allows people to express joy and happiness on the days of Eid.

End quote from Majmoo‘ Fataawa Ibn Uthaymeen, 16/276

And he (may Allah have mercy on him) said:

It is well known that there are no festivals in Islam except those which are proven in sharee‘ah, namely Eid al-Fitr and Eid al-Ahda, and Friday which is the weekly “Eid”. As for the fifteenth of Sha‘baan (an-nusf min Sha‘baan), there is no proof in Islam is that it is an Eid. If it is taken as an occasion on which charity is distributed or gifts are given to neighbours, then this is taking it as an Eid.

End quote from Fataawa Noor ‘ala ad-Darb

And he said concerning Mother’s Day: Once this is understood, it is not permissible, on the occasion mentioned in your question, which is called Mother’s Day, to introduce any of the symbols of Eid on this day, such as expressing joy and happiness, giving gifts, and so on.

End quote from Majmoo‘ Fataawa ash-Shaykh Ibn ‘Uthaymeen, 2/301

And Allah knows best.