Deduction type
Pricing & deal discrepancies
Short-pays where the buyer paid a different price than invoiced, or applied a deal you didn't agree to — among the most recoverable deduction types.
Mihir Naik · Founder, OverDeduct — deduction recovery for emerging & mid-market CPG brands
Last reviewed: August 4, 2026
Educational content — not legal, tax, or accounting advice. Verify deadlines and fee details against your current distributor agreement before disputing.
A pricing (or deal-discrepancy) deduction happens when a buyer pays a different unit cost than you invoiced, or applies a promotional deal that doesn't match your records.
These are among the most recoverable deductions because they hinge on a documented number. If your PO, cost sheet, or signed deal disagrees with what was paid, the difference is owed back to you — it's a documentary dispute, not a negotiation.
Most pricing deductions trace to a cost change that wasn't synced on both sides, or a deal keyed to the wrong SKUs, dates, or rate.
Selling through KeHE? See how pricing & deal discrepancies work at KeHE, including the specifics and how to dispute them in K-Solve.
Wondering how many pricing & deal discrepancies you're actually being charged? Run a real remittance through the free deduction recovery analyzer to see every line categorized and what's realistically recoverable.
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Frequently asked questions
Why are pricing deductions the most recoverable?
They hinge on a documented number — your agreed cost. If your PO, cost sheet, or signed deal disagrees with what the buyer paid, the difference is provable and owed back to you.
What causes pricing deduction errors?
Most trace to a cost change that wasn't synced on both sides, a deal applied to the wrong SKUs or dates, or a deal claimed with no authorization on file.
Other deduction types
- Shortage deductionsA charge for units the buyer says it didn't receive against your invoice — one of the most recoverable deduction types because it turns on delivery documentation.
- Manufacturer chargebacks (MCB)A promotional discount a distributor gives a retailer and bills back to the manufacturer — often with a processing fee on top.
- Fill-rate / service-level penaltiesA penalty for shipping fewer units than were ordered — distinct from a shortage at receiving, and typically a percentage of the shorted value.
- Co-op advertising (co-op) deductionsA deduction taken to recover advertising or marketing spend the buyer claims to have run on your behalf — recoverable when the spend wasn't approved, documented, or was billed twice.
- Returns / RTV deductionsA deduction for product the buyer returned — unsold, damaged, or non-conforming. Usually legitimate; recoverable mainly when the return wasn't authorized or was double-counted.
- Duplicate deductionsThe same deduction taken more than once — on one invoice, across invoices, or as both a chargeback and a short-pay. Highly recoverable because it's a pure paperwork error.
- Post-audit deductionsCharges raised by an auditor reviewing past invoices — often months after the transaction. Recoverable when the audit's claim is wrong, undocumented, or falls outside the dispute window.
- Unearned / unauthorized cash discount deductionsA prompt-payment (terms) discount the buyer took without actually earning it — paying late but still deducting the discount, or taking a rate it wasn't entitled to. Among the most recoverable deductions.
- Promotional billback / scan-down deductionsDeductions that recover promotional discounts — billbacks, scan-downs, off-invoice and temporary price reductions. Recoverable when unauthorized, mis-keyed to the wrong dates or SKUs, or billed more than once.
- Slotting / new-item / free-fill deductionsFees charged to place a new item — slotting, new-item, placement, and free-fill (free initial cases). Often contractual, but recoverable when duplicated, charged beyond the agreement, or taken for items never stocked.
- Spoilage / swell / unsaleables deductionsDeductions for damaged, expired, or unsellable product — spoilage, swell, and unsaleables. Usually valid within an agreed allowance; recoverable when they exceed the allowance, aren't documented, or are duplicated.
- Freight / backhaul / detention deductionsShipping-related deductions — backhaul allowances, detention, lumper fees, fuel, and freight-audit charges. Recoverable when applied on the wrong freight terms, at the wrong rate, or duplicated.