Will PayPal charge a fee/tax for issuing a full refund for international transaction?

[suatlay]

Hi all, I'm new to the community here. It'd be great if anyone could help me with the matter regarding issuing a full refund.

I've recently sold a transaction / item for 900USD to a USA customer. The customer paid 963usd including tax. In the end I've received only 851usd after the fees. I'd like to issue a full refund to the customer but Paypal is showing I will be refunding 963USD, and there will be no tax refunded to the customer.

I am wondering, by me issuing a full refund, will I be left to pay the fees/tax to PayPal? 

Please help. Thank you, Candice

[sharpiemarker]

@suatlay 

If you sold the item through a marketplace, then the marketplace should be refunding the sales tax. As for the PayPal fee, PayPal no longer refunds their fees so that comes out of your pocket.

[suatlay]

Hi @sharpiemarker 

Thank you for that quick response! Yes I sold it via eBay.

So does that mean, when issuing a refund to a customer even for a high-value item with 900usd, Paypal will not refund the fees charged $47.49?! 

Do you know the latest % paypal fees to the USA? Is it the pre-tax or post tax price? 

Thank you!!

[sharpiemarker]

@suatlay 

"So does that mean, when issuing a refund to a customer even for a high-value item with 900usd, Paypal will not refund the fees charged $47.49?! "

No, they will not.

"Do you know the latest % paypal fees to the USA? Is it the pre-tax or post tax price?"

The cross border rate is standard rate (2.9% + 30p) + 2.0% (Additional percentage-based fee for international commercial transactions for US & CA) = 4.9% + 30p and calculated off the gross amount invoiced/received so it is based off of item price, p&p, sales tax altogether.

https://www.paypal.com/uk/webapps/mpp/merchant-fees