I don't think it is. I'm in the US and bought something from Italy. When I returned, the company doesn't do prepaid shipping labels so I returned it on my own via USPS and got reimbursed by PayPal. They only do up to a certain amount (just looked it up it's $30) and I had to provide a copy of the customs form and my shipping receipt
This is a part of it, which is really sad:
You may use the Return Shipping on Us Service to obtain reimbursement of return shipping costs for items purchased online, if the following conditions are met:
- You must activate the Service before you attempt to submit a refund request, by clicking the “Agree & Activate Now” button on the Return Shipping on Us service website and logging in to your PayPal account.
- You must hold a U.S. PayPal account that is not suspended or limited;