Virginia penny rounding law
Optional symmetric rounding for cash sales, cash payments and cash wages. Taxes are computed and remitted on the pre-rounding price.
Virginia cash rounding calculator
Enter a cash total, or item prices plus your sales tax rate. The result updates as you type.
The rounding rule
Anyone selling goods or services for cash may round the total (including taxes): amounts ending in 1, 2, 6 or 7 cents may be rounded down and 3, 4, 8 or 9 cents rounded up, to the nearest amount divisible by five.
Who it applies to
Sellers accepting cash, anyone whose transaction results in a cash payment or transfer, and employers paying wages in cash. Localities may adopt temporary ordinances, expiring by July 1, 2027, to round cash payments of local tax bills to five cents.
Customer notice
No customer sign is required.
Make a printable Virginia cash rounding sign.
Sales tax
All taxes and fees are calculated and remitted on the price before any cash rounding (Va. Code § 6.2-200.2(A)). Virginia Tax was directed to report on sales tax effects and uniform procedures by November 1, 2026. More on sales tax and cash rounding.
What is not rounded
- The law applies only to cash transactions.
Pennies, enforcement and safe harbors
The law does not address accepting pennies.
A seller acting in compliance is not in violation of any state or municipal requirement (Va. Code § 6.2-200.2(B)).
The law
| Law | HB 954, 2026 Acts Ch. 713 (Va. Code §§ 6.2-200.1 and 6.2-200.2) |
|---|---|
| Signed | April 13, 2026 |
| Effective | July 1, 2026 (effective July 1, 2026) |
| Status | Law in effect |