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Unable to process cancellations or refunds

Buyer messaged and requested to cancel an order. We tried processing a cancellation and received an error message. We tried refunding instead of cancelling and received another error message. We have more than sufficient funds in eBay managed payments to cover the refund amount. We also have PayPal and a bank account linked as secondary and tertiary payment options. We contacted customer service. They were also unable to process a refund, but were not able to advise why. They stated there's no technical issue on eBay's end and confirmed we had funds available to cover the refund amount. When we repeatedly asked why the refund won't process they talk in circles (reading random excerpts from scripts) and won't provide any answers.  Anyone else having issues with refunds or cancellations going through?

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