Do we have to Pay tax separately if we use Paypal ?


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Hello guys i am from india, 19 years of age..... so i am new to all of this things paypal and credit cards things...

I want to create a paypal account for selling, buying and receiving money to my paypal. I will manly used to sell virtual items such as the items from zynga games and fifa coins.....

So does paypal allows selling virtual items in india ? is it safe to sell virtual items ?

Also do i have to pay tax separately, which they pay via online income tax site ??? I mean it will be under 30 thousand transaction maximum in a year..... (Due to this reason i am worried about)

Which Bank is best for Paypal.. ? Should i go for credit card or debit cards... ?? i will use this also for international travels in future. It should work in Paypal and other online sites.
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