Arizona cash rounding law
HB 2938 / Ch. 5. Enacted Mar 13, 2026; applies Mar 13, 2026. Obligation: Obligates. Scope: General retail; public agencies.
Verified against enacted text: September 2, 2026. Primary source.
What a merchant must do
Arizona obligates sellers to use Swedish rounding (rounding to the nearest five cents, with totals ending in 1, 2, 6 or 7 cents rounding down and 3, 4, 8 or 9 cents rounding up) when completing a cash transaction without one-cent coins, and prohibits any other rounding method. A posted notice at the point of sale is required. The requirement took effect on enactment, March 13, 2026, and covers general retail and public agencies.
Tax base treatment
Taxes and fees are computed and remitted on the pre-rounding sales price. Rounding adjusts the cash amount tendered, not the taxable base.
Mixed tender treatment
The statute excludes non-cash payment methods and is silent on split-tender transactions. A transaction settled partly in cash and partly by card is not addressed by the enacted text.
Liability protection
Regulatory cover only. Enforcement sits with the Weights and Measures Services Division of the Department of Agriculture, which may impose civil penalties for noncompliance. The act creates no express safe harbor against private actions.
Related references
- Cash rounding compliance: the category definition and its four failure points
- Legislation tracker: live status across all enacted and pending states
- Cash rounding exposure tool: compare Arizona against the other states you operate in
- Cash rounding laws by state: every enacted statute with citation, applicability date and obligation
- Tennessee cash rounding law: permits (safe harbor), a different obligation structure from Arizona
- Kentucky cash rounding law: obligates govt; permits retail, a different obligation structure from Arizona
- New Mexico cash rounding law: delegation, a different obligation structure from Arizona