I believe if you use the Paypal "gift" option too often, they will no longer allow it for your account.

If you are selling something (or paying for something) you can use the paypal "Payment owed" option. With this option, if you pay with a credit card, the purchaser would pay the fees and the seller would receive the full amount. If you pay through a linked bank account, there are no fees involved for either party.

Using this option, the same goals as the "gift" function are obtained, and there is no issue with Paypal.