There are 3 ways to connect PayPal to your QuickBooks Online account. The main difference between the connections is the way certain transactions are handled and the transaction details that are imported. This difference is described in the tables below:
Connect to Paypal app
| Transactions imported | All balance impacting transactions only |
| Sales transactions | Imported along with tax, fees, and other details, with the option of a Sales Receipt or Deposit |
| Transfers | Imported (default categorization) |
| Expenses | Imported (user categorization options) |
| User's primary benefit | Review transactions before adding to your books, detailed sales transactions, categorized expenses and transfers |
| User's primary limitation | Currently, multi-currency is not supported |
Intuit and PayPal have worked diligently to provide a solution that merges Sync with PayPal and PayPal Bank Feeds into one. You can try the Connect to PayPal app here.
Sync with PayPal app
| Transactions imported | All types* |
| Sales transactions | Imported along with tax, fees, and other details breakup |
| Transfers | Imported (default categorization) |
| Expenses | Imported (default categorization) |
| User's primary benefit | Detailed sales transactions, help with accounting |
| User's primary limitation | The user has to manually categorize vendor payments and move funds to banks (if necessary) |
*Except PayPal Credit and cash transactions.
PayPal Bank Feeds
| Transactions imported | All types |
| Sales transactions | Imported (only summary) |
| Transfers | Imported (detailed categorization) |
| Expenses | Imported (detailed categorization) |
| User's primary benefit | Categorized expenses and transfers |
| User's primary limitation | Users do not get detailed sales transactions |
What are the non-supported transactions?
Here are some of the non-supported transactions:
- Authorization
- Fee Reversal
- Temporary Hold
- Reserve Hold
- Pending Balance Payment
- Pending Balance
- Gift Certificate Fund Transfer
- Gift Certificates and Cards Redemption
- Gift Certificates and Cards Refund
- Pay After Delivery
- PayPal Extras MasterCard® Cash Back
- PayPal Services Credit Received
- eBay MasterCard Cash Back
