Define: Trade Discount

UK Accounting Glossary

Definition: Trade Discount


Quick Summary of Trade Discount


A reduction from the sales list price that a business might offer to some of its customers. The amount of the trade discount will be shown on the face of the invoice as a deduction from the list price. A Settlement Discount is different.



What is the dictionary definition of Trade Discount?

Dictionary Definition


A reduction in the list price of goods; for example: a discount given to customers who make purchases in bulk.


Full Definition of Trade Discount




Trade Discount FAQ's



Cite Term


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Page URL
https://payrollheaven.com/define/trade-discount/
Modern Language Association (MLA):
Trade Discount. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. July 17, 2019 https://payrollheaven.com/define/trade-discount/.
Chicago Manual of Style (CMS):
Trade Discount. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. https://payrollheaven.com/define/trade-discount/ (accessed: July 17, 2019).
American Psychological Association (APA):
Trade Discount. PayrollHeaven.com. Retrieved July 17, 2019, from PayrollHeaven.com website: https://payrollheaven.com/define/trade-discount/

Definition Sources


Definitions for Trade Discount are sourced/syndicated from:

  • Oxford Dictionary Of Economics
  • BusinessDictionary.com
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 26th December 2018.