PayPal, multiple currencies & VAT

[Click2Post.co.uk]

Hello,

I've started accepting multi currencies (AUD, EUR, USD) in PayPal.
Paypal immediately convert the currency into GBP for me.

I usually download a 'Monthly Statement' showing money in, money refunded etc for VAT Purposes.

Does anyone know if the GBP report INCLUDES funds converted to GBP? They also allow you to download the statement in AUD, USD, EUR etc so I have no idea if the GBP included funds converted?

I'm going to ask PayPal but I suspect they will tell me they don't know (From experience)

 

[andygambles]

It's better to open a PayPal balance in the currencies you accept. You then only have to do one conversion when you decide to convert the money rather than for each transaction.

 

[Click2Post.co.uk]

It's better to open a PayPal balance in the currencies you accept. You then only have to do one conversion when you decide to convert the money rather than for each transaction.

Hi Andy,

I think this is what I should have done from day one!

I'm going to ask HSBC about their foreign currency current accounts too, I suspect PayPal are giving me a unfavourable exchange rate.

 

[andygambles]

You can do it now. Opening as many currency balances as you want. That is the beauty of PayPal.

 

[pluby]

If you're talking about a lot of foreign currency trades you might want to use a foreign exchange specialist as they can get you excellent rates compared with the banks, which could give you a competitive edge and a better profit margin. I know a company that does this, PM me your contact details and I'll get them to give you a call, and/or have a look at their website.

 

[MRam]

yes I agree with pluby if you have time shop around for currency transfer quotes and make sure that you are getting the best rate from an FSA authorised foreign exchange provider. Typically, a foreign exchange broker's rate can be up to 4% better than the banks. This doesn't sound a lot but when you're transferring thousands or hundreds of thousands, it really does make a huge difference...
all the best

 

[Pish_Pash]

Paypal's currency conversion rates are such that whenever I see how they've stiffed me, my head spins around & I projectile vomit .....this really annoys my wife as our Henry vacuum just isn't up to the job.