I think that once tracking has shown the item has been returned to the seller, the refund is automatically done, both the seller's portion of the refund and the Pitney Bowes portion for Import Fees. That being said, you will have to keep an eye on your paypal account and the transaction itself to ensure it is done the way it is supposed to be done. I'm not certain whether it's an immediate refund or one that happens after a set amount of time, like a business day or three.
As a seller, I haven't had to facilitate any refunds. As a buyer, I think I've only had one refund that involved the Global Shipping program and it wasn't a return, more of an Item Not as Described (plus it was awhile ago) so parts of the process are different and/or may have changed.
I'm happy I was able to help. I hope the rest of the process goes smoothly for you. Good luck as you carry forward.
