How does paypal work with upwork do they just send the money to Paypal and if you can't get project you still have to pay for taxes from upwork?
Basically- if its income, its taxable. you will need to report it and pay appropriate taxes.
Upwork has its own payment system. i would recommend using that instead of Paypal because Upwork has a good escrow system to ensure you get paid. I have had good arbitration with Upwork also