New York Introduces Cash Rounding Legislation (A.9274)

Source Overview

New York introduced A.9274, known as the "New Yorkers for Common Cents Act." Status: Introduced (not law). **Scope:** - Applies to face-to-face, in-person cash sales only - Excludes transactions totaling 4 cents or less - Excludes electronic payments, credit cards, debit cards **Tax Treatment:** - State and municipal taxes not applied to rounding gains or losses **What the Policy Defines:** - Symmetric rounding to nearest five cents - Merchant definition (face-to-face, in-person sales) - Legal tender definition (all U.S. coins and currency) - Mills included in rounding calculation **What the Policy Does NOT Define:** - Refund handling - Cash-in vs cash-out behavior - Receipt disclosure requirements - Audit or recordkeeping standards

Key Takeaways

• Status: Introduced (not law)
• "New Yorkers for Common Cents Act"
• Applies to face-to-face, in-person cash sales only
• Excludes transactions totaling 4 cents or less
• Excludes electronic payments, credit cards, debit cards
• State and municipal taxes not applied to rounding gains or losses
• DFS may promulgate regulations including exemptions
• Takes effect 180 days after becoming law (if passed)

Open Questions

• ?What regulations will DFS issue if the bill passes?
• ?Will the bill pass before federal standards are established?
• ?How will it interact with potential federal legislation?
• ?Will future amendments address refund handling and audit standards?

Updates and Revisions