Colorado penny rounding law

With no Colorado rule for store sales, the calculator applies the nearest-nickel method used by most state laws and the federal bill, or rounding in the customer’s favor. Choose another state to compare.

Colorado law and bills

We found no Colorado rounding bill in the 2026 session, which ended in May. The state has set rules for its own offices: the Office of the State Controller’s policy Cash Transaction Rounding for Pennies, effective March 1, 2026, has state agencies round cash totals (including taxes) symmetrically to the nearest 5¢, round totals of 1¢ or 2¢ up to 5¢, leave non-cash payments exact, and explain the rule to their customers.

What Colorado agencies say

The Department of Revenue’s Rounding Guidance for Retailers (March 2026) says:

• Sales tax is still computed on the purchase price and rounded to the cent as usual.
• Rounding the transaction total is treated like other payment-method adjustments: it does not change the purchase price, the sales tax or the retail delivery fee.
• The rounding adjustment must be shown as a separate charge.
• The Department itself rounds cash tax payments symmetrically to the nearest 5¢.
• It does not cover home-rule cities that collect their own sales tax; check with the city.

Can a Colorado store round cash totals?

Yes, with two Colorado-specific points. First, since September 7, 2021, HB21-1048 has required retail businesses that take payment in person to accept cash, with limited exceptions; a violation is a petty offense with a fine of up to $250, and SB22-228 (2022) added Attorney General enforcement. Rounding is a way to keep taking cash without pennies, not a reason to refuse it. Second, show the adjustment as its own line on the receipt, as Revenue requires. Symmetric rounding or rounding in the customer’s favor, with a posted sign, is the safe practice.

Federal law

There is no federal rounding rule in force either. The Common Cents Act (H.R. 10167) passed Congress on September 28, 2026, but as of October 31, 2026 we found no record of it being signed. If enacted, it would let sellers in Colorado round cash totals symmetrically to the nearest 5¢ without requiring anyone to round, keep pennies legal tender, and protect sellers that follow its method from conflicting state or local rules. Federal status of the penny.

Your options as a customer

• Pay by card, debit, EBT or app. Those payments are charged the exact amount; rounding only ever touches cash.
• Pay with exact change. Pennies are still legal tender (31 U.S.C. § 5103). The Federal Reserve notes, though, that no federal law makes a private business accept cash or coins. Colorado is different: HB21-1048 requires most retail businesses to accept cash for in-person purchases. Federal Reserve FAQ.
• Check the receipt. It should show the exact total and a separate rounding line, so you can see which way it went.
• Report a problem. If a store rounds every cash total up without telling customers, contact the Colorado Attorney General: file a consumer complaint. See also is it legal for a store to round up?

Sales tax

Colorado’s state sales tax rate is 2.9%, and counties, cities and special districts add their own; many home-rule cities collect their own tax under their own rules. Food for home consumption is exempt from the state tax but some localities tax it. Compute every tax on the actual price before rounding. More on sales tax and cash rounding.

SNAP, EBT and card payments

SNAP and WIC benefits are paid electronically, so the EBT part of any purchase in Colorado is always charged to the exact cent. Federal rules require stores to treat SNAP shoppers the same as other customers, so a store that rounds the cash part of a split payment should use the same rule for everyone. SNAP/EBT, cards and refunds.

Stores and local news in Colorado

The Jefferson County Clerk and Recorder adopted symmetric nickel rounding for cash payments in March 2026. Local papers including the Durango Herald and the Steamboat Pilot reported mountain-town retailers rounding cash totals as pennies ran short in early 2026.

Rules in neighboring states

Shopping across the line? Rounding rules change at the border.

Checked against the sources below as of October 31, 2026. Compare every state in the state-by-state tracker.