As far as our Paypal standard integration is concerned, we are already passing all the information that we are allowed to. Having talked to Paypal last week, it looked like all we have to do was to get retailers to provide the tracking information for each transaction to avail of the Seller Protection.
As I said before, Paypal doesn’t provide any mechanism to automically upload the tracking number and relevant shipping address information for each transaction and as of now, this has to be done manually I’m afraid.
I will contact Paypal again to relay your claim that providing the tracking number doesn’t seem to be enough to be eligible for the Seller Protection and as soon as I have more insight I will let you know.
Finally, I should also mention that we are talking here about Paypal standard, it’s possible that with Paypal Express Checkout (which we will provide with our upcoming Heartland Integration) the situation is totally different. We will confirm that as well so watch out this space for more updates.