I had just this month talked with the IRS about an overpayment of taxes of .76. The lady told me that "anything under $1 would be written off" that it made no difference to who's favor it would be, that it would be wiped clean either way.
I told my wife, that if I owed the .76, that she would not have said that, and this article proves that!
It sounds like they just wanted an excuse to abuse (they would call it excercise) their authority.
If it were me, I would want to get the full amount due (the $202.35) all in pennies and have them come out to collect it, off the ground one penny at a time, for their behavior.