Wear them to places where it doesn't matter what you look like (like visiting family)

Same. Unless it's something it wouldn't make sense to wear at home, like a dress shirt, then I just donate them or give it out to a friend.

Sometimes I also just stuff them in my wardrobe for later. Discovered that I actually have a few shirts I thought were ugly when I first got them, then sometime randomly a year or even two later, I find them again digging through my wardrobe and I'm like "wait, this isn't actually ugly" and I start wearing them often

Reminds me of the time I got an ugly ass sweater for Christmas from my aunt. I didn't say anything I just kind of handed it back to her at the end of the night I feel so terrible looking back. I don't think she ever gave me anything else after that

You should try to return it. Yeah you'll probably get a gift card back, but you might like something else in the store. You'll never know.