To deduct points from a submission, you can add deductions to comments you leave on the submission.
To do so, make set the point toggle to negative (red) in the top right of a comment. Enter a positive number in the input to deduct points. Switching the toggle to positive (green) will set bonus points.
You can also deduct points from a submission by applying rubric comments.
If your assignments are graded additively (that is, the submission grade starts at zero and earns points off a checklist), then you can set the Assignment Setting to Additive Grading
.