paypal fee on sales tax

southernshrike
New Community Member

when ebay adds a sales tax to my invoice and the buyer pays the full amount, I see that paypal then remits the sales tax to ebay.

 

am I paying a paypal fee on that sales tax amount or does ebay pay it?

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1 REPLY 1

PayPal_JonK
Moderator
Moderator

Hello @southernshrike,

 

Welcome to the Community Forum! That's a great question. PayPal's fees are factored on the Gross Transaction Amount. 

 

For example, if the payment is $20, shipping is $2, and tax is $2, then the Gross Transaction Amount would be $24. Our fee would be factored off of that $24.

 

Thanks for reaching out!

 

 - Jon K

 

 


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