Are there really no limits to campaign donations?

For those who think that there is a limit of $2,300 that you can make in campaign donations to a federal candidate, you might be mistaken. There is an article in the WSJ today about the wealthy heiress who gave money to Edwards' campaign. If I am reading this correctly, I don't understand what limits the amount of money an individual is able to give to a political campaign. In this case, the wealthy heiress apparently tied the gifts that she was giving to Edward's campaign to specific spending made by the campaign.

"From now on," she added, "all haircuts, etc., that are necessary to the campaign—please send the bills to me.… It is a way to help our friend without government restrictions."

How can it be a gift if it is designated to be used in specific campaign activities? If this is accurate, then there are effectively no limits on direct campaign contributions as long as one declares it to be a "gift" and pays the relevant taxes.