OK, this is a bit complicated but I can't give loads of details for fear of being identified in RL.
DH and I have a relative who we would prefer to avoid. Circumstances are such that there will be occasions where we can't. Said relative has a child of a very similar age to ours. This year the relative sent (via other relatives) a present for our child. We didn't get their child a present and are not intending to- we'd prefer not to have that kind of relationship. The kids are so young that they won't be affected by this at the moment and we don't want them to be if we can help it.
We feel uncomfortable about accepting it but have decided that the least controversial course of action is to send a thankyou card saying something along the lines of 'thank you for the thought, really kind, but in the future we think it's best if we don't exchange gifts, expensive time of year blah blah blah'.
I am rather stuck on good ways to firmly convey the sentiment that we don't want to exchange presents in future, and good excuses for doing so. Was thinking that citing reasons of economy was a winner here, but any other suggestions would be welcome.
Would love to be honest about it but that is not really an option, all things considered.