Idaho cash rounding law

H.R. 10167 has passed congress. It is not yet law, and it does not by itself change Idaho's enacted requirements below. Section 4 of the bill is a safe harbor for adherence to the federal rounding conduct it describes, not a blanket preemption of state law. See the Federal Cash-Rounding Standard for the pending federal framework and its current status.

Status: Reviewed. Verified against enacted text: September 2, 2026.

No specific guidance identified beyond what is cited on this page as of September 29, 2026. Monitoring for updates.

Idaho permits a seller that is unable to settle a cash transaction to the whole cent using coin or currency on hand to round either the total amount due or the amount of change due back to the purchaser to the nearest five cents: final digits 1, 2, 6 and 7 round down and 3, 4, 8 and 9 round up. The same rule applies to cash refunds of purchases. State agencies must continue to accept cash, and rounding under the act is not a fee for cash payment. Effective July 1, 2026.

Inability to settle to the whole cent with coin or currency on hand. SB 1350 makes rounding available to a seller that cannot settle a cash transaction to the whole cent using the coin or currency it holds. As in Tennessee, the condition is operational and does not depend on penny production or on any declaration that the coin has been withdrawn.

The distinction between an operational trigger and a penny-production trigger is examined in The Nickel to Dime Problem.

Tax base is pre-rounded. The total amount due is defined as the sales price plus applicable taxes, fees, or other charges calculated to the nearest cent, and taxes are computed on the total sales price before any rounding occurs.

Not addressed by the enacted text. The statute is written in terms of cash transactions and does not describe a transaction split between cash and electronic tender.

Not addressed by the enacted text for private sellers. The act provides only that rounding amounts charged or withheld by a state agency do not constitute a fee under the cash-acceptance requirement in Idaho Code 67-2361; it creates no general immunity for sellers.