True gifts. This rule applies only to true gifts. You canât avoid paying income tax by calling something a gift when it isnât. For example, a âgiftâ you receive in exchange for services or some other consideration isnât a gift. Income after gift.
Actually, they can. PayPal will put your account into a negative balance and any funds you add or receive will first go towards that negative amount. If you keep a negative balance for over 30 days, they will send you to collections and close your account.
From the sellerâs side, this is the warning they see when someone sends them a Paypal eCheck. So now your payment is in Paypal limbo. Itâs been taken from your bank account but not given to the seller. Nobody wins here.