Deduction Codes & Dispute Guide
Amazon uses 15 deduction reason codes across 3 categories. Of these, 15 are typically disputable with proper documentation. The standard dispute window is 30 days from the deduction date.
Dispute via Vendor Central > Reports > Operational Performance dashboard. Submit evidence within 30 days. One appeal if denied. Sub-types downloadable as Excel from Operational Performance Dashboard.
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All known Amazon deduction reason codes with dispute guidance.
| Code | Name | Category | Disputable | Recovery | Tips |
|---|---|---|---|---|---|
| PO-ONTIME | PO On-Time Accuracy Carrier missed delivery window. 3-10% of COGS penalty. Most common and expensive Amazon chargeback. | compliance | Yes | medium | Provide carrier tracking showing on-time delivery. Dispute via Vendor Central Operational Performance. |
| NO-SHOW | No Show Carrier failed to arrive at scheduled appointment. $50-$250 per occurrence. | compliance | Yes | medium | Provide carrier dispatch confirmation and tracking. |
| ASN-ACC | ASN Accuracy ASN not sent, sent late, or inaccurate. 2-6% of COGS. Very common chargeback. | compliance | Yes | medium | Provide ASN transmission timestamp and contents. Show ASN was accurate. |
| CARTON-CONTENT | Carton Content Accuracy Label does not match actual carton contents. $2.60/unit penalty. | compliance | Yes | medium | Provide packing list and carton label samples showing accuracy. |
| CARTON-INFO | Carton Information Compliance Missing or incorrect carton information label. $10/box penalty. | compliance | Yes | medium | Provide photos of compliant labels. Show labeling process. |
| OVERAGE-PO | Overage PO Units More units received than ordered, or singles shipped as cases. 10% COGS penalty. | compliance | Yes | medium | Provide PO and packing list showing correct quantities. |
| PREP | Prep Issues Improper packaging prep. $0.63-$1.26/unit. Sub-types: bagging, barcode labeling, bubble wrapping, overboxing, set creation, taping. | compliance | Yes | medium | Provide prep instructions compliance evidence. Show packaging meets Amazon requirements. |
| OVERSIZED | Oversized Carton Carton exceeds 25 inches per side. $25/box penalty. | compliance | Yes | medium | Provide carton dimension measurements showing compliance. |
| OVERWEIGHT | Overweight Carton Carton exceeds 50 lbs. $25/box penalty. | compliance | Yes | medium | Provide weight tickets showing compliance. |
| SIOC | Ships in Own Container Missing SIOC/FFP certification. $1.80-$4.40/unit penalty. | compliance | Yes | medium | Provide SIOC certification documentation. |
| REJECTED-DEL | Rejected Delivery Delivery rejected at Amazon FC. 3% COGS penalty. | compliance | Yes | medium | Request rejection reason. Provide compliance documentation. |
| BASE-ACCRUAL | Base Accrual / MDF Marketing Development Funds. 5-22% of net receipts (typically ~10%). Covers promotions, paid search, placement. | trade | Yes | medium | Review co-op agreement terms. Verify accrual rate and period. |
| DAMAGE-ALLOW | Damage Allowance Flat percentage (1-3% of net receipts) for handling returns and disposal. | trade | Yes | medium | Verify agreed damage allowance rate. Request actual damage data. |
| FREIGHT-ALLOW | Freight Allowance 2-5% of net receipts for shipping from vendor to Amazon FCs. | logistics | Yes | high | Verify freight allowance rate matches agreement. |
| SHORTAGE | Shortage Claim Amazon claims fewer units received than shipped. Can be filed up to 60 days after receipt. | logistics | Yes | high | Provide BOL, POD, weight tickets. Dispute within 30 days via Vendor Central. |
Proactive steps to reduce deductions and improve compliance.
30-day dispute window is very short -- process chargebacks within 1 week of receipt
PO On-Time and ASN Accuracy are the two most expensive chargeback categories
Download chargeback detail as Excel from Operational Performance for easier reconciliation
Co-op terms (Base Accrual) typically range 5-22% -- negotiate hard at annual review
SIOC certification can save $1.80-$4.40 per unit in packaging chargebacks
Shortage claims can be filed up to 60 days after receipt -- monitor closely
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