All Tommy had to do was take it and just keep earning with Jimmy and he would eventually be made, then Batts wouldn't be able to embarrass him and give him shit about the shine box anymore. Being with Paulie made Tommy think he could get away with anything. After they killed Batts, Tommy figured Paulie knew 'but didn't know' and would work it out with the Gambinos. They worked it out alright. Of course, Henry's Scarface style drug dealing eventually took down Paulie's crew anyway.