Gift verses Goods and Services

patmil1
Contributor
Contributor

I occasionally send money to a friend via PayPal, friends and family. She gets the full amount so there is no fee charged, but she claims the money appears for "Goods and Services". She is concerned she will have to pay taxes and wants me to send the money as a gift...how can I be sure the money I send appears as gift

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PayPal_Olivia
Moderator
Moderator

Hi @patmil1,

 

Thank you for your reply! I'm glad things were figured out! I appreciate you coming back to let us know. Have a great day!

 

Olivia

 

If this post or any other was helpful, please enrich the Community by giving kudos to its author, accepting it as a solution, and/or coming back to assist others. Members make this Community great!

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7 REPLIES 7

Annie_02
PayPal Employee
PayPal Employee

Hi @patmil1 

 

I understand your concern about the money that you have sent to your friend. If the transaction already shows as "completed" then you cannot resend it as personal. In future, you can send the funds as "friends or family" but once the transaction is completed you cannot reverse or change. You can click here for more information about the different between these transactions. 

 

Regards,

Annie.

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patmil1
Contributor
Contributor
I sent it as friends and family. She claims it comes across as goods and services.
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kernowlass
Esteemed Advisor
Esteemed Advisor

@patmil1 

 

Does she have a business paypal account?

Only business paypal accounts can no longer receive friends/family payments.


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patmil1
Contributor
Contributor

I will ask her. But if it is a business account, would she get the full amount I sent? She says there is no fee taken out.

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PayPal_Olivia
Moderator
Moderator

Hi @patmil1,

 

Thank you for your post and for joining the PayPal Community Forum!

 

I'm sorry that there's some confusion regarding what type of payment your friend received from you. If there was no fee, the payment was a Friends and Family payment. Goods and Services payments would incur a fee. Can you ask your friend where the payment is showing as a Goods and Services payment? That'll help us drill down a little. 

 

If you can get your friend to join the community and post in this thread, further help can be given directly to her by the Community members. If not, she can reach Customer Service at one of the methods listed when clicking Contact at the bottom of the PayPal website.

 

I hope this is helpful!

 

Olivia

 

If this post or any other was helpful, please enrich the Community by giving kudos to its author, accepting it as a solution, and/or coming back to assist others. Members make this Community great!
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patmil1
Contributor
Contributor

We figured it out. Her account was set up a business account years ago when she was a eBay seller. She forgot. She thought it was an issue the way I was sending her money. It was not my account that was causing the confusion. All her, lol. Thank you for the response.

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Solved

PayPal_Olivia
Moderator
Moderator

Hi @patmil1,

 

Thank you for your reply! I'm glad things were figured out! I appreciate you coming back to let us know. Have a great day!

 

Olivia

 

If this post or any other was helpful, please enrich the Community by giving kudos to its author, accepting it as a solution, and/or coming back to assist others. Members make this Community great!
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