When I issue a refund, are the transaction fees returned?
When you issue a refund, we'll return part of the transaction fees to you. For full refunds, the fixed fee portion of the commercial transaction fees will be retained. For partial refunds, the pro-rata share of the fixed fee portion of the commercial transaction fee will be retained.
For more details on fees for refunded payments, please click Legal at the bottom of any PayPal page and check out our User Agreement.
PayPal Transaction Fees
When you sell an item via PayPal, you're charged a fee based on the cost of the item. For sales within the United States, the fee is 2.9 percent of the selling price plus an extra 30 cents. This fee comes out of the seller's cut of the item. For instance, if an item sells for $30, the buyer pays $30 via PayPal. After fees, the seller receives $28.83. Should the buyer request a refund, PayPal refunds the seller a portion of this fee.
Full Refunds
When you issue a full refund via the transaction page,
PayPal refunds you the 2.9 percent fee,
but not the 30-cent fee. Taking the $30 sample order from the previous section, if you issue a full refund PayPal will return 87 cents of the original $1.17 fee. This works only if you issue the refund through the Transaction History page for the original transaction. On that page, you can select the "Issue Refund" option.
Partial Refunds
If you choose to issue a partial refund instead of a full refund (such as $15 of the original $30 purchase price), PayPal will return only a portion of the payment fees. PayPal's website does not specify exactly what portion of the fee is returned the seller when a partial refund is issued. It's likely tied to what percentage of the refund is returned to the buyer.
Disclaimer
This article refers to PayPal's fees and prices as they were listed at the time of publication.
These fees and prices are subject to change in the future.
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New Policy
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Refunds After 60 Days
If the buyer requests a refund more than 60 days after the original transaction date, you will not be able to issue a refund through the Transaction History page. Instead, you will need to use the regular "Send Money" function on PayPal. When you issue a refund in this manner, you will not be able to recoup the selling fees.
"We're changing how we treat refunds. If you refund (partially or fully) a transaction to a buyer or a donation to a donor, there are no fees to make the refund, but the fees you originally paid as the seller will not be returned to you."
"In the past if a refund was process Paypal has retained the fixed part of the processing fee but did return the % part of the fee. Now it appears that if a seller now does a refund,
PayPal will be keeping 100% of the processing fee.
"Previously if a buyer purchased something for $100.00 and paid through PayPal the seller was changed a $.30 fixed transaction fee and 2.9% of the $100.00 or $2.90, the seller ended up with a net payment of $96.80. If the seller refunded the payment for whatever reason PayPal returned the entire $100.00 to the buyer but retained the $.30 fixed transaction fee.
The end result was that it still cost the seller $.30 to process the fee. Now it appears that PayPal is keeping the entire fee of $3.20 even if the refund is immediately processed."
Tue Apr 2 2019 13:45:18
https://www.ecommercebytes.com/C/blog/blog.pl?/pl/2019/4/1554227118.html