In my country Paypay doesn’t tax when doing Friends and Family transactions, but do when you are sending to an account from another country
In germany it demands on the conditions. If you get too much, they will ask why and where you got it. So, if you get small amounts it’s totally ok, if it gets more you will get problems.
Isn’t like that anywhere really? Paypal applies a hard limit on the max amount to send via Friends and Family, needing you to use the taxed other method where it becomes pretty much a bank transaction. For exchanging big sums in general the only real choice is a bank transfer with your real cards.
I think you are confusing taxes with fees? I don’t think PayPal will pay any taxes for you even if you don’t use the “friends and family” feature.
PayPal doesn’t do the tax, but for the content creator its taxable income