A-Z Claim for Refund Set Up For Automatic Refund for Orders

Buyer filled an A to Z claim for a return. I am set up for refund on first scan. The item was purchased 63 days ago. I did not refund the item because of automatic refunds. Appealed the claim and lost because I did not issue a refund. Amazon's policy : Generally, our return window is open for 30 days. Following authorization of a return request, you must wait until the return window closes followed by a transit time of 15 days for a buyer to return an item. Again, purchase was 63 days old. Which rules am I to follow? I also wasn't notified of the A to Z claim. The item was also returned damaged and cannot be sold.