An Etymological Dictionary of the German Language/Scherz
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Scherz, m., ‘joke, jest,’ from MidHG. schërz, m., ‘pleasure, play’; allied to ModHG. scherzen, vb., from MidHG. schërzen, ‘to cut capers, hop, amuse oneself’; comp. MidHG. scharz, ‘leap.’ These cognates, which are found neither in the MidHG. classical writers, in OHG., nor in OTeut. generally, are met with, however, in Ital. scherzare, ‘to jest,’ borrowed from G.