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Returns and RTV deductions

Returns and RTV Deductions Explained

A return-to-vendor (RTV) deduction happens when a retailer physically ships merchandise back to you, then bills the cost, freight, or a handling fee against your account instead of paying for it. See the RTV glossary entry for the underlying definition.

What is a return-to-vendor (RTV) deduction?

A return-to-vendor (RTV) deduction happens when a retailer physically ships merchandise back to you, then bills the cost, freight, or a handling fee against your account instead of paying for it. See the RTV glossary entry for the underlying definition.

What happens, how it differs from a shortage or a compliance fine, and its source.
What happensHow it differs from a shortage or a compliance fineSource
Retailer ships merchandise back to youA shortage means goods never arrived at all; an RTV means goods are moving the other direction/codes#category-overview
Retailer bills the cost, freight, or a handling feeA compliance fine penalizes a process miss; an RTV bills for the physical goods and their movementBealls Inc. Chargeback Policy, code 615
WHAT HAPPENS, AND HOW IT DIFFERSWHAT HAPPENSHOW IT DIFFERSRetailer shipsmerchandise backto youA shortage means goods never arrived at all;an RTV means goods are moving the otherdirectionSource: /codes#category-overviewRetailer bills thecost, freight, or ahandling feeA compliance fine penalizes a process miss;an RTV bills for the physical goods and theirmovementSource: Bealls Inc. Chargeback Policy
What happens, and how it differs from a shortage or a compliance fine. Retailer ships merchandise back to you: a shortage means goods never arrived at all, an RTV means goods are moving the other direction (/codes#category-overview). Retailer bills the cost, freight, or a handling fee: a compliance fine penalizes a process miss, an RTV bills for the physical goods and their movement (Bealls Inc. Chargeback Policy).

Defective merchandise charges and negotiated allowances

Not every returns-related deduction is a return shipment. Two other charges sit next to RTV, and each needs its own check.

Charge, what the retailer says it covers, and what to check.
ChargeWhat the retailer says it coversWhat to check
Damaged, defective, or unsaleable merchandiseBealls code 609: offset at the cost of merchandiseYour inspection and receiving records for those units
Negotiated allowanceBurlington: allowances "negotiated by our merchant and your salesperson" that "will appear on your vendor agreement and/or purchase order"The allowance term on your vendor agreement or PO
CHARGE, WHAT IT COVERS, WHAT TO CHECKCHARGEWHAT IT COVERSWHAT TO CHECKDamaged, defective,or unsaleablemerchandiseBealls code 609: offset atthe cost of merchandiseYour inspection andreceiving records forthose unitsNegotiatedallowanceBurlington: allowances“negotiated by our merchantand your salesperson” that“will appear on your vendoragreement and/or purchaseorder”The allowance term onyour vendor agreementor PO
Charge, what the retailer says it covers, and what to check. Damaged, defective, or unsaleable merchandise: Bealls code 609, offset at the cost of merchandise; your inspection and receiving records for those units. Negotiated allowance: Burlington, allowances “negotiated by our merchant and your salesperson” that “will appear on your vendor agreement and/or purchase order”; the allowance term on your vendor agreement or PO.

Unauthorized returns and call tags

An unauthorized return is merchandise a retailer ships back to you that you never authorized. At Macy's, you send it back to Macy's CRC using a call tag from its Call Tag Department, within 60 days of receiving the RTV.

Process, in order:

  1. Unauthorized return arrives at your dock
  2. Request a call tag (Macy's: Call Tag Department)
  3. The clock runs from your receipt of the RTV
  4. Send the merchandise back to the retailer (Macy's: to CRC)
UNAUTHORIZED RETURN, IN ORDERUnauthorized returnarrives at your dockRequest a call tag(Macy's: Call TagDepartment)The clock runs fromyour receipt of theRTVSend the merchandiseback to the retailer(Macy's: to CRC)
In order: unauthorized return arrives at your dock, request a call tag (Macy's: Call Tag Department), the clock runs from your receipt of the RTV, send the merchandise back to the retailer (Macy's: to CRC).

How to check an RTV deduction against your own records

Line up four records before disputing anything: the return authorization (if required), the RTV document or debit memo, the carrier's tracking for the return shipment, and the quantity you received at your own warehouse. A mismatch between the retailer's document and what you can prove you received is the whole dispute.

Process, in order:

  1. Return authorization (if required)
  2. RTV document / debit memo
  3. Carrier tracking for the return shipment
  4. Received quantity at your own dock
FOUR RECORDS, IN ORDERReturn authorization(if required)RTV document /debit memoCarrier tracking for thereturn shipmentReceived quantity atyour own dockA mismatch between the retailer's document and what you canprove you received is the whole dispute.
In order: return authorization (if required), RTV document / debit memo, carrier tracking for the return shipment, received quantity at your own dock. A mismatch between the retailer's document and what you can prove you received is the whole dispute.

When an RTV deduction is disputable, and what is not

An RTV deduction is disputable when your own received-quantity count, carrier tracking, or return authorization contradicts the amount or description on the retailer's RTV document. It's generally valid when those same records confirm the return. Each retailer sets its own filing window, so confirm it before you assume one retailer's deadline applies to another.

Macy's own rule: vendor claims for return shortages, damages, and non-delivery filed more than 90 days after the deduction will not be investigated. Not every retailer publishes a window this specific, so confirm the current process before filing.

See also Macy's, Burlington, Bealls, how to dispute a retailer deduction, retail compliance, and shortage deduction disputes.

Roy matches each deduction to the documents that answer it and prepares the dispute for review. Curious where your own returns and RTV deductions stand? Get a free deduction assessment.

LIKELY DISPUTABLE OR LIKELY VALIDLIKELY DISPUTABLELIKELY VALID OR UNCLEARReceived quantity you counteddoes not match the RTVdocumentYour own receiving countconfirms the retailer'sstated returnNo return authorization onfile, but one was requiredA valid return authorizationmatches the document
Likely disputable: received quantity you counted does not match the RTV document; no return authorization on file, but one was required. Likely valid or unclear: your own receiving count confirms the retailer's stated return; a valid return authorization matches the document.
Questions

Frequently asked questions

What is a return-to-vendor (RTV) deduction?

A deduction a retailer takes when it physically ships merchandise back to you and bills the cost, freight, or a handling fee against your account, rather than paying for it. It's distinct from a shortage (goods never arrived) or a compliance fine (a process miss).

How is a defective merchandise charge different from an RTV?

In an RTV, goods ship back to you. A defective merchandise charge bills you for units the retailer records as damaged, defective, or unsaleable. Bealls, for example, offsets its code 609 at the cost of merchandise. Check your inspection and receiving records for those units.

What is an unauthorized return, and how is it different from an RTV?

It's merchandise a retailer ships back to you that you never authorized. At Macy's, you send it back to Macy's CRC using a call tag, within 60 days of receiving the RTV.

Is a return-to-vendor deduction disputable?

Yes, when your received-quantity count, carrier tracking, or return authorization contradicts the retailer's RTV document. Each retailer sets its own filing window and starting event, so confirm the current process before you file.

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