If you expect a short and sweet answer to the above question, you are wrong. There are multiple scenarios where as in some cases you have option to pay in Indian Rupees but not always.
Scenario 1: Payment Outside India
You are paying in currency other than Indian Rupees but then you can be charged in Indian Rupees. It only means you save on the forex rate from your credit card company but then you have issues with PayPal Crap Forex rates.
Scenario 2: Payment to Fellow Indian
Indians are not allowed to pay fellow Indians through PayPal and you have to look for alternative payment methods.
Scenario 3: Receiving Payments in India
Receiving payments in India has 3 major differences. I say major because there are other minor differences but that is not the whole point.
- There is an upper-cap of $3000. This means Indians cannot accept single payment of more than $3000 in one transaction. You have to split that transaction in parts.
- Indians cannot receive personal payments. All Payments has to be business payments which means each transaction has a fee associated with it.
- Indians cannot use the funds in their PayPal account for payments. They have to withdraw the payment received to their bank accounts. For Payments they have to use a credit card.
Coming back to Original Question of Can Someone Pay in Indian Rupees on PayPal?
The answer is if you cannot pay other follow Indians, I don’t see a need to be paying in Indian Rupees.