Open up a case against him. It wouldn't be rude. He says that and all he has to do is work it out. eBay should be in on this. Make a claim, describe the situation and post the pics. Worst case scenario he doesn't reply or acknowledge it and you get a full refund and get to keep everything.
I'd say about half, so $90 something. The stained shirt, wrinkled pants and detoriating belt are atrocious and they had to have seen that when they sold it to you. You're not in the wrong here.
Those clothes go for quite a bit on eBay. I'd say the partial refund should reflect what's left over after how much you wanted to pay for the True Type body. I think getting around $90-$96 back is reasonable.
He's not having you send the clothes back correct? Make it known that the clothing articles are unusable.