What Are PayPal Fees in India in 2026?

PayPal fees for Indian users, as published on PayPal's own pricing pages and checked on 30 Sept 2026.

PayPal charges through a receiving fee, an FX markup on conversion and, in some cases, payout or fixed fees.

• Transaction fee: 4.40% + USD 0.30 per international commercial payment received (fixed fee varies by currency, e.g. EUR 0.35, GBP 0.20)
• FX markup: 3.0% above PayPal's base exchange rate when converting payments received into another currency
• Withdrawal fee: Funds are credited to the linked Indian bank account via the authorised dealer bank. Standard withdrawal to a bank account is free when no currency conversion is involved; conversion of received foreign-currency payments costs 3.0% above the base rate. A failed withdrawal due to incorrect bank details costs 250.00 (currency as shown on the fees page). Timing is not confirmed.
• GST: PayPal's India user agreement states its fees are exclusive of taxes and that GST-registered merchants receive a PayPal tax invoice and can claim input tax credit via GSTR 2B. Custom FIRA charges carry 18% GST.

Calculation basis: A commercial payment in USD received by an India-registered PayPal account from a sender outside India: 4.40% plus a fixed fee of USD 0.30 (India merchant fees page, 'Receiving international transactions'), then conversion to INR at 3.0% above PayPal's base exchange rate, the rate the same page lists for 'Converting balance and payments received into another currency' (a 4.00% rate applies to conversions in all other cases). PayPal's India user agreement states its fees are exclusive of taxes and that PayPal issues GST tax invoices, so GST is treated as charged on the fee; no GST rate is stated. The same agreement bars export payments above USD 10,000 per transaction. Fees page last updated 28 March 2024.

PayPal's fee depends on how your client pays. Methods not listed are not supported or not published for Indian users.

Published FX markup: 3.0% above PayPal's base exchange rate when converting payments received into another currency. The markup is the difference between the mid-market rate and the rate PayPal applies when converting to INR.

For example, on $5,000 at the XE mid-market rate of 94.61 for 4 Nov 2026, the mid-market value is ₹4,73,066. PayPal's markup costs ₹13,567 of that.

PayPal's India user agreement states its fees are exclusive of taxes and that GST-registered merchants receive a PayPal tax invoice and can claim input tax credit via GSTR 2B. Custom FIRA charges carry 18% GST.

For example, on a $5,000 invoice the fee is ₹20,843 and GST at 18% adds ₹3,752.

The table shows each charge line by line at the XE mid-market rate for 4 Nov 2026.

• Standard dispute fee: USD 8.00 (INR 580.00 for INR transactions)
• High volume dispute fee: USD 16.00 (INR 1,160.00)
• Bank return on failed withdrawal: 250.00 (currency as shown on fees page)
• Refunds: No fee to refund, but the original receiving fees are not returned
• Custom FIRA: INR 100 + 18% GST per transaction (up to 20), or INR 2,000 + 18% GST for more than 20 transactions

• Payment method: Ask clients to pay by local bank transfer to your account details, which usually costs less than cards, wallets or Swift wires.
• Invoice size: Where a platform charges a flat fee per payment, fewer and larger invoices lower the cost as a share of revenue.
• Conversion: Compare the rate offered with the mid-market rate on the day, because the FX markup is often the larger cost.
• GST: Keep the platform's tax invoices, since GST paid on fees may be claimable as input tax credit if you are GST registered.

Platforms are ranked by the INR received on a $5,000 invoice, with PayPal included.

Fees were checked on PayPal's own pages on 30 Sept 2026. INR figures use the XE mid-market rate for 4 Nov 2026. The formula is on the methodology page.

1. PayPal India Merchant Fees, Receiving international transactions; Currency Conversions (3.0% converting balance and payments received; 4.00% all other cases); Withdrawals Out of PayPal; Dispute Fees; Other Fees (Last Updated 28 March 2024) (checked 6 Oct 2026)
2. PayPal India User Agreement, About our main business (Export Payment Services); Opening an Account; Restricted Activities (USD 10,000); Holds (180 days); Dispute Fee (guest checkout); Taxes and Information Reporting (GST) (last updated 13 January 2025) (checked 6 Oct 2026)
3. PayPal India Foreign Inward Remittance Advise (FIRA) (checked 6 Oct 2026)
4. PayPal India Know Your Customer (KYC) (checked 6 Oct 2026)
5. PayPal India Business (checked 6 Oct 2026)
6. RBI: Status of Applications received under Payment and Settlement Systems Act, 2007 (as on 01.10.2026), Table D: Existing PAs-CB which can operate as Payment Aggregator- Cross Border (checked 6 Oct 2026)