South Dakota penny rounding law
No statute. DOR (Apr. 2026): compute tax on the taxable total first; a retailer may then round the cash total to the nearest nickel without changing the tax.
Short answer. South Dakota has no rounding statute, but the Department of Revenue says a retailer may round a cash total to the nearest nickel after computing the tax, and that doing so does not change the tax owed.
South Dakota cash rounding calculator
Enter a cash total, or item prices plus your sales tax rate. The result updates as you type.
South Dakota law and bills
We found no South Dakota rounding bill. KELOLAND reported before the 2026 session that legislative leaders expected no penny bills, and the session, which ran from January to March 2026, has adjourned. The next session begins in January 2027.
What South Dakota agencies say
The Department of Revenue’s newsroom post The U.S. Treasury Has Stopped Minting Pennies (April 24, 2026) says sales tax is still computed on the taxable total and rounded to the cent under the usual rules, and a retailer may then round the cash total to the nearest nickel without changing the tax. Electronic payments are unaffected. It points businesses to the Streamlined Sales Tax Governing Board’s guidance and suggests consulting counsel.
Can a South Dakota store round cash totals?
Yes. Revenue’s guidance expressly contemplates nearest-nickel rounding of cash totals. South Dakota’s deceptive trade practices law still applies, so post the policy and round both ways. Kwik Trip, which has South Dakota stores, rounds cash purchases down.
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 South Dakota 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. We found no South Dakota law that changes that, so a store sets its own payment policy. 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 South Dakota Attorney General, Consumer Protection. See also is it legal for a store to round up?
Sales tax
South Dakota’s state sales tax rate is 4.2%, and municipalities add up to 2%. Unlike most states, South Dakota taxes groceries, so most cash grocery receipts include tax. Compute it on the actual price, then round the cash total. 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 South Dakota 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.
Rules in neighboring states
Shopping across the line? Rounding rules change at the border.
| State | Status | Summary |
|---|---|---|
| North Dakota | No law found | No law or guidance. No regular session in 2026; the two special sessions covered other topics. The next regular session starts January 2027. |
| Minnesota | Government payments only | Law covers state agencies only. For businesses, Revenue guidance allows rounding to the nearest, next lower or next higher nickel. |
| Iowa | Agency guidance only | No statute. Revenue: report sales and tax before rounding. SF 2456 (optional symmetric rounding) passed the Senate 44-0 but never got a House vote. |
| Nebraska | Law in effect | Optional symmetric rounding of either the cash total or the cash paid out, one method per location. 1–2¢ owed to an employee rounds up. |
| Wyoming | No law found | No law. HB0071, “No more pennies-rounding cash payments,” failed to be introduced in the 2026 budget session. No agency guidance found. |
| Montana | No law found | No law or guidance. The Legislature meets in odd years and held no regular session in 2026; the next one starts January 2027. No sales tax. |
Frequently asked questions
Is rounding to the nearest nickel legal in South Dakota?
Does rounding change South Dakota sales tax on groceries?
Is a South Dakota rounding bill pending?
Sources
- South Dakota DOR: The U.S. Treasury has stopped minting pennies (Apr. 24, 2026)
- KELOLAND: No new pennies, no new bills in SD 2026 session
- Streamlined Sales Tax Governing Board: Penny elimination, state-specific guidance links
- South Dakota Attorney General, Consumer Protection
- H.R. 10167 (119th Congress), Common Cents Act, enrolled bill text (GovInfo)