What is the authenticity of the hadith: "A gift is not to be gifted [further]," and does it mean that it is impermissible to gift or sell a given gift?

If a gift is accepted, it is permissible to dispose of it through charity (sadaqah), a gift (hibah), or sale. The statement attributed to the Prophet, peace and blessings be upon him, that it is not permissible to sell a gift, is incorrect. The Prophet, peace and blessings be upon him, used to give away gifts that were given to him, as he did in the story of the silk garment that he gifted to Umar ibn al-Khattab, may Allah be pleased with him.