Paypal Sucking Indian Freelancers Money And Charging 18% of Total Payment

This issue is very serious guys as many Indian Freelancers are dependent on Paypal for money transactions and Paypal is now making bleed Indian freelancers or internet marketers who get payments from outside India.  So in effect, you could be losing 36% of your revenues on arrival, with no clarity on refunds at all because you don’t have FIRCs yet. This is fucking situation and every needs to file an petition on Change.org here : SIGN HERE

You can clear the screenshot what Paypal is saying. In a support chat  Abhi Dwivedi was able to get a clarification from Paypal that the 18% GST would be deducted on the entire amount, and not just their charges. WTF

We will lose lot of money and our hard work will go in paying taxes. WTF

This issue is now more urgent than ever.

A potentially explosive situation created by paypal and it is impacting people in India who are inexpedient on Paypal for money transactions. I feel very pity for every internet marketers now and I am also dependent on paypal totally.

Do you have any solution for this problem let us know ? Please share your experience with us.

 

 

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About Jitendra Vaswani

Jitendra Vaswani is the founder of SchemaNinja WordPress Plugin, prior to SchemaNinja he is the founder of big internet marketing blog BloggersIdeas.com. He is successful online marketer & award winning digital marketing consultant. He has been featured on HuffingtonPost, BusinessWorld, YourStory, Payoneer, Lifehacker & other leading publication as a successful blogger & digital marketer. Jitendra Vaswani is also a frequent speaker & having 5+ yrs experience of in Digital Marketing field. Check out his portfolio( jitendra.co). Find him on Google+, Twitter, & Facebook.

4 Comments

  1. Hello Jitendra ,

    That is something really pity thing these people are coming up with, what would we people be earning if they would be taking 18%
    of the taxes from what ever money are we making.

    I share this among my friends that many of the people should know about this.

    Thanks for the share.

    Shantanu

    Reply  
  2. PayPal is only charging the GST to comply with Indian laws. They just want to make sure they don’t get entangled in legal issues and get banned from India like in the past.

    And honestly, the problem here is not that PayPal is charging 18% GST. But the procedure that you have to follow to claim the refund is ridiculous.

    You must get an FIRC from the bank which converts your money from USD (Or other currency) to INR for every single payment you receive. Needless to say, both Bloggers and Freelancers receive multiple payments each month. And the fact that each FIRC will cost you around Rs.150-200 + GST only worsen things.

    Add to it, an FIRC may be rejected by the officials as it is not enough to prove that you are eligible for being exempted from GST. Because the FIRC only proves that you received the said money from outside India. It does not prove that you delivered the service outside India.

    For example, you are from Maharashtra and have a client from Upwork who is based in Delhi. You will receive the payment in USD, but you are eligible to pay GST for the same.

    Things are worse for Bloggers who are into affiliate marketing. In most cases, you won’t even know the country of the person who is buying a product through your affiliate link.

    Reply  
  3. Alex

    Bro You should delete this post because some people talked with the paypal team through email and they said the tax will be only charged on the fees and not the whole payment .

    Reply  
  4. Chrisima

    The never thought PayPal would do this sort of stuff because I am working on online for quite a long now and I always bought the payment from their gateway. looks like I have to shift my payments somewhere. Keep us updated on this problem.

    Reply  

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