> ## Documentation Index
> Fetch the complete documentation index at: https://docs.centsless.org/llms.txt
> Use this file to discover all available pages before exploring further.

# Enacted cash rounding states and legislation

> Six U.S. states enacted cash rounding laws after penny production ended in 2025. Centsless covers all six with automatic jurisdiction resolution and compliance certification.

Penny production ceased in November 2025. Since then, six states have enacted cash rounding legislation, each with a different rounding methodology, enforcement model, and scope. There is no federal standard. Centsless covers all six enacted states and resolves the correct rule for every transaction automatically.

## Enacted state legislation

| State      | Bill     | Rounding method            | Enforcement         | Scope                 |
| ---------- | -------- | -------------------------- | ------------------- | --------------------- |
| Arizona    | HB 2938  | Swedish rounding           | Mandatory           | All retail cash       |
| Indiana    | SB 243   | Three-tier operator choice | Permissive (retail) | All cash + govt taxes |
| Tennessee  | HB 1744  | Symmetrical (safe harbor)  | Voluntary           | Retail cash           |
| Washington | SHB 2334 | Symmetrical                | Permissive          | In-person cash        |
| New Mexico | HB 291   | Delegated to Dept          | Narrow              | Tax/MVD fees only     |
| Utah       | HB 597   | Not prescribed             | Narrow              | Alcohol sales only    |

## Key compliance rule

All six states require sales tax to be calculated on the **pre-rounded amount**, not on the rounded cash total. Centsless enforces this automatically: the `tax_total_cents` you submit is never modified, and the `rounding_delta_cents` in the response reflects only the adjustment to the subtotal.

## Enforcement models

The enacted states use three different enforcement models:

* **Mandatory** — rounding is required by law (Arizona). Non-compliance is a violation.
* **Permissive** — operators may round but are not required to (Indiana, Washington).
* **Voluntary** — the state provides a safe harbor for merchants who round correctly (Tennessee). Rounding is optional but if you round, the statutory method applies.

New Mexico and Utah have narrow scope laws that apply only to specific transaction types. Centsless resolves these automatically based on the jurisdiction database.

<Info>
  Centsless tracks 55+ bills across 35+ states with pending or proposed legislation. The jurisdiction database updates automatically when new legislation is enacted — no action is required on your part to stay compliant as new states are added.
</Info>