Are you talking about earning or redeeming?
Often, DGC will count towards your total to earn a bonus, but you can never spend Rewards on them.
Deep in the Target terms:
Target Circle Rewards cannot be redeemed for the following:
adult beverage purchases;
dairy product purchases;
purchases of prescriptions and over-the-counter items located behind the pharmacy counter;
purchases made at some partner businesses, including in-store clinics, Target Optical and Target Plus Partners;
purchases made on the Shipt app and tips for shoppers;
purchases made from Target through third-party sites such as Google Express;
purchases of Target GiftCards;
purchases of specialty gift cards and Visa, American Express and Mastercard gift cards/prepaid cards;
purchases fulfilled via email (for example, video game digital downloads and digital specialty gift cards);
taxes, bottle deposits, shipping, delivery, handling and all other fees or charges;
payment of any Target Circle Card balance, debit card cash withdrawals at checkout and payments for insufficient funds;
prior purchases; or
where otherwise prohibited by law.
Other restrictions may apply to redeeming Target Circle Rewards.
Source:
https://www.target.com/c/terms-conditions/-/N-4sr7l#circlenew