Cancellation in progress?

[lilbabyplain]

I sold an item, but unfortunately, I can't fulfill the order. I chose to cancel said order, but received a "There was a problem sending a refund" error message and the cancellation is currently "..in progress". Every dollar of the funds that I received for this order are still currently in my PayPal account, so I don't understand why I can't simply refund the buyer via the typical cancellation process. As eBay isn't providing phone service at the moment, I emailed them and received a reply which suggested that I simply refund the buyer directly through PayPal, but if I do that, I will be responsible for refunding the buyer's taxes, which I did not receive, plus my eBay fees for the transaction will not be taken care of. I'm so frustrated and perplexed by this situation and the fact that I can't actually speak with an eBay representative. Please help! Thanks. 

[wooden_flower · Accepted solution]

You need a few $ more than the net payment amount in your paypal account - paypal does not generally refund the fees when you refund a payment.

Paypal will no longer pull funds from your bank account to cover a refund, so you need to have the full amount of the refund in your account before the refund will process.