Can PayPal fees be claimed on taxes? These are fees PayPal takes out of personal payments/deposits into my PayPal account that are not related to business income.

rpg_gamer85 · ‎February 4, 2020

Specifically: if I buy an item online with a credit card but the seller refunds me and refunds to my PayPal account instead of to the credit card, can I claim the fees PayPal takes out of that refund deposit?

GiseleD · ‎February 4, 2020

If the PayPal fees are not related to business expenses/income/transactions, then you cannot claim any deductions for them on your tax return.

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McClurkina · ‎April 10, 2023

Paypal fees are being taken out from business account

JulieS · ‎April 10, 2023

Yes, you can deduct as a business expenses, the fees charged by PayPal to process payments, if those payments are for business income and expenses.

If your PayPal use is purely personal, no deduction is allowed.

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Can PayPal fees be claimed on taxes? These are fees PayPal takes out of personal payments/deposits into my PayPal account that are not related to business income.