Vermont penny rounding law
Optional symmetric rounding of the final cash total. Businesses that round must post the state’s model notice. Cash refunds must be exact.
Vermont cash rounding calculator
Enter a cash total, or item prices plus your sales tax rate. The result updates as you type.
The rounding rule
A person in a cash transaction may round the final amount due, after taxes and fees, to the nearest $0.05 (1, 2, 6, 7 down; 3, 4, 8, 9 up). A cash refund must equal the exact amount the buyer originally paid.
Who it applies to
Any person in a cash sale of goods or services, including sales paid partly in cash.
Customer notice
Anyone who rounds must post the State’s model notice in a clear and conspicuous manner at the point of sale or at the entrance to the business. The official model notice is headed “Notice to Customers” and explains the rule.
Pursuant to Vermont State Law, when pennies are unavailable, cash purchase totals may be rounded to the nearest nickel ($0.05) after all discounts, taxes, and fees are applied.
Download the official model notice and post it as required.
Make a printable Vermont cash rounding sign with the state wording.
Sales tax
All taxes and fees are calculated and remitted on the pre-rounding amount. The Department of Taxes says rounding does not change the tax calculation or the amount owed. More on sales tax and cash rounding.
What is not rounded
- Electronic and other non-cash payments.
- Wages paid under 21 V.S.A. § 341.
- Rebates and other cash disbursements.
- Any transaction where federal law prohibits rounding.
Pennies, enforcement and safe harbors
Rounding under the act is not an unlawful price increase, surcharge, unfair or deceptive act, or discrimination.
The Secretary of Agriculture may penalize a failure to post the required notice (6 V.S.A. § 687).
The law
| Law | S.327, Act 128 (2026), secs. 13a–13b (9 V.S.A. § 2) |
|---|---|
| Signed | June 8, 2026 |
| Effective | June 8, 2026 (effective on passage (some state materials describe rounding as effective July 1, 2026)) |
| Status | Law in effect |