Hi, Ryan. Welcome to Tiller Community!
I pondered the same issue after adding PayPal to my tracked accounts. Ultimately, I stopped monitoring the PayPal account directly, and used the payments that covered the PayPal transactions as a proxy record of PayPal activity.
Downloading the PayPal transactions added no value. No useful payee information was provided by PayPal that didn’t also appear in the covering payment (in my case, from my checking account), and as you point out, it was duplicative.
Since I keep no substantial balance with PayPal, it did not figure into net worth or a balance sheet and, once I categorized the covering transaction, my budget bases were covered. PayPal is just a way station en route to the vendor. That’s the information I really want.
To get it and keep it, I routinely rename cryptic transactions descriptions such as PayPal, Square (sq ), Toast (TST) and other payment platforms with uniform descriptions such as the restaurant or retailer who was being paid. (The Full Description column in Tiller captures the downloaded description for posterity.) Further, I have applied data validation to the Description column that references a lookup of all prior transaction descriptions. This largely eliminates multiple versions of the same payee name (i.e. Cheesecake Factory; The Cheesecake Factory), which facilitates any sorting, searching, or reporting I subsequently do.
If there is a statement, transaction record or receipt, or other document related to the transaction that might be useful to have in the future, I upload it to Google Docs and paste a link to it in the Note column of the Tiller Transactions sheet.
Pardon me if I seem to be getting into the weeds. If you do wish to keep a record of all PayPal transactions as downloaded, you might wish to filter them out using the Institution column.