Gift Message is part of the default Magento configuration. You can add gift message in order as a whole or in individual order items.
Note: By default, the gift message is not enabled in Magento.
Here is how you display gift message adding form in order/checkout:-
1) Go to System -> Configuration -> Advanced -> Disable modules output and check if Mage_GiftMessage is Enabled. This should be Enabled.
2) Go to System -> Configuration -> SALES -> Sales -> Gift Messages.
3) Here, you will find two selection lists:-
Allow Gift Messages on Order Level: By default it is ‘No’. When you change it to ‘Yes’ then you will be able to add a single gift message to the whole order. The gift message form is displayed in ‘Shipping Method’ section of Checkout page.
Allow Gift Messages for Order Items: By default it is ‘No’. When you change it to ‘Yes’ then you will be able to add gift message separately to individual item of your shopping cart. The gift message form is displayed in ‘Shipping Method’ section of Checkout page.
4) You can also enable or disable gift messages in individual product from ‘Manage Products’. When you edit any product, you will see a selection list of Allow Gift Message. By default, it is set to Use config, i.e. it will use the value set in configuration (see #3 ‘Allow Gift Messages for Order Items’). Here, you can set ‘Yes’ or ‘No’ to display gift message adding facility to the particular product or not.