Rebel Wilson sued Bauer Media over articles which claimed she invented her backstory to “make it in Hollywood”
Wilson argued the "serial liar" allegations had ruined her reputation and cost her lucrative movie roles.
The Melbourne appeals court of three judges slashed Wilson's 4.6 million Australian dollar ($3.5 million) payout to AU$600,000 ($454,000).
Victorian Supreme Court Justice John Dixon subsequently awarded Wilson $650,000 in general damages and $3.97 million in special damages, saying the defamation was "unprecedented in this country" and warranted "a substantial damages award to vindicate her and nail the lie".
The actress is best known for the"Pitch Perfect movies and"Bridesmaids
In June a year ago a six-person jury found in favour of Wilson's claim against the publisher of Woman's Day and the Australian Women's Weekly.
The star of three "Pitch Perfect" movies and "Bridesmaids" won AUS$4.6 million (US$3.5 million) in damages from the German publisher previous year after a court found a series of articles accusing her of lying about her age, name and childhood events had cost her roles.
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During the trial, Wilson said her agents had advised her to stop mentioning her age - which was reported to be 29 in 2015 - because "Hollywood is very ageist, especially towards women".
The actress was present for two days of arguments in court in Melbourne in mid-April, and told The Project at the time that the entire ordeal had been "awful".
Wilson said previously that she would donate the money made from the case to charity and use it to support the Australian film industry. She said she subsequently had not tried to correct wrong information printed about herself.
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