Netting SA refund against a suspended penalty

Netting SA refund against a suspended penalty

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My client is due a refund for 2012/13. I have applied for this twice via HMRC's website but on each occasion, nothing has been forthcoming. I phoned HMRC this morning to enquire whether or not the refund had been blocked because of a daily penalty against which we have appealed and the collection of which is currently suspended. HMRC were unable to confirm that this is the case but another department is going to contact me at some point to confirm or deny. Just wondering if HMRC can net refunds in this way?

Thanks

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