Yes. Gifts are subject to use tax if sales tax was not previously paid by the donor.
Exception: The use of donated tangible personal property by a nonprofit charitable organization or a state or local governmental entity is exempt from use tax. The donor is also exempt from use tax on the donation of tangible personal property (without intervening use) to a nonprofit charitable organization. However, donors are not exempt from use tax on tangible personal property donated to state or local governmental entities.
If an auto dealership donates a vehicle from its inventory (without intervening use) to a nonprofit charitable organization for use as a prize for a fundraiser, or donates the vehicle to a state or local government agency, the nonprofit charitable organization or the state or local government agency is exempt from paying use tax on the vehicle. Likewise, the auto dealership is exempt from use tax on the vehicle. However, if the auto dealership donates a vehicle from its inventory to a state or local government agency (or to any other person other than a nonprofit charitable organization), the dealership owes use tax on the donated vehicle.