PayPal has been advised that according to the provisions of the Income Tax act, the fee charged by us doesn't fall under any category liable for tax deduction at source.

However, as stated in the User Agreement, it's the responsibility of the users to check with their local tax advisor to determine the applicability of any taxes and accordingly pay such taxes to the appropriate tax authority. Please consult your tax advisor to understand the implications of the income tax law for you. If you’re required to comply with the TDS provisions under the Income Tax Act, but you’re unable to make the deduction, you may deposit the appropriate amount with the Government of India and provide a certificate in Form 16A in the name of PayPal Payments Private Limited, and then send it to paypal-tds@paypal.com.

You are required to complete the one-off registration process in our internal Ariba system to process the reimbursement. Upon successful verification of Form 16A with the records available with PayPal and if registered with the Ariba system, a reimbursement of the amount would be paid to your bank account within 21 days of receipt of Form 16A. 


1. What is the advised rate for Tax deduction?  

2. What documents are to be provided for claiming TDS reimbursement?  

3.  Will the reimbursement be credited to my bank account or my PayPal account?  

4. How long will the reimbursement take to be processed?