Entries aren't automatically set to "Submitted" after the entry fee is paid through PayPal
In the PayPal button wizard above, make sure you turn on the option "I'm replacing the 'SUBMIT THIS ENTRY' button with this PayPal button" when you get the code for your PayPal button.
In your PayPal account, make sure you have IPN (Instant Payment Notification) turned on in Account Settings > Business Profile > Notifications > Instant Payment Notifications
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