Love my paypal gifts.
Of course, if you use PayPal to buy or sell:If your payment is a gift, you give up any recourse through Paypal if there is a problem.
... you are in violation of their Acceptable Use policy and probably lack any recourse anyhow.
"In order to avoid the fee" this is fraud, ill gladly pay the fee.
People will abuse the "gift" option, but there is a reason that Paypal has this option and I'm sure they know that they lose some fees do to abuse or fraud as you call it. I use the "gift" option frequently. Example: If someone buys something on our (Knife Lady and mine) website and that item belongs to Knife Lady, the payment goes into my Paypal account and I pay the Paypal fees on that transaction. When I pay Knife Lady the money that is due to her, I "gift" the money to her. I don't see anything wrong with what I'm doing, I paid the fee on the original transaction.
I never noticed there was a gift box will have to check it out.
Do you use the "Gift" option or the "Money Owed" option under the "personal" tab to do this?
Both options along with the "other" and can't recall the other item under the personal tab are free when the money comes from your PayPal balance or bank account.
The reason I ask is more from a tax-preparing/book keeping point of view.
You should really use the "Money Owed" so you can properly label the transfer as an 'expense' on your internal books/records as opose to a 'gift'.
if you ever get audited by the IRS seeing it as "money owed" rather then having to explain it's "money owed" but labeled as a gift will make the audit go easier.
-jedi