Effective August 28, 2026, Missouri has enacted legislation that establishes rounding procedures for cash transactions, in order to assist with the collection of Missouri sales tax.
For cash transactions only, a seller may round the total amount of sale due on a transaction to the nearest five cents. Totals ending in $0.01, $0.02, $0.06, or $0.07 may be rounded down to the nearest amount divisible by $0.05. Totals ending in $0.03, $0.04, $0.08, or $0.09 may be rounded up to the nearest amount divisible by $0.05. Rounding should be applied only to the final total of the transaction after all items, discounts, and taxes have been calculated.
Note that this rounding method shall not apply to transactions paid by credit, debit, or other non-cash methods.
The legislation states that a vendor selling goods or services will not be in violation of any requirements, laws, regulations, or standards of a state or political subdivision of Missouri based on any action taken in good faith and in compliance with the legislation.
Affected sellers should make note of the above guidelines and consider adjusting their systems as needed. (H.B. 2819, Laws 2026, effective August 28, 2026)