---
title: HB 1112. Commerce and trade; rounding of total price of sale of goods or services when using legal tender; provide
collection: bills
id: 2025-2026/hb1112
cite_as: HB 1112, 2025-2026 Regular Session (Ga.)
canonical_url: https://georgiacommons.org/bills/2025-2026/hb1112
md_url: https://georgiacommons.org/bills/2025-2026/hb1112.md
text_url: https://georgiacommons.org/bills/2025-2026/hb1112/text
source_url: https://www.legis.ga.gov/legislation/72636
date: 2026-05-11
status: passed
corpus_version: bills-2026-09-13
license: Public record of the Georgia General Assembly, via LegiScan; see about.md
publisher: Georgia Commons, an independent project of Georgia Civic Data. Not the State of Georgia. Not legal advice.
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omitted: votes and history
omitted_chars: 1573
omitted_url: https://georgiacommons.org/bills/2025-2026/hb1112.md?full=1
bill_number: HB 1112
session: 2025-2026 Regular Session
session_slug: 2025-2026
chamber: House
bill_type: bill
status_date: 2026-05-11
last_action: Effective Date 2026-07-01
sponsors:
- Carter Barrett
- Charles Martin
- Brent Cox
- Shaw Blackmon
- Vance Smith
- Johnny Chastain
- Chuck Hufstetler
text_version: Enrolled
has_text: true
legiscan_url: https://legiscan.com/GA/bill/HB1112/2025
upstream_id: 2102307
summaries_model: claude-sonnet-5
topic_tags:
- retail sales
- cash transactions
- consumer pricing
- tax exemptions
- commerce law
---
# HB 1112. Commerce and trade; rounding of total price of sale of goods or services when using legal tender; provide
## Text
House Bill 1112 (AS PASSED HOUSE AND SENATE)
By: Representatives Barrett of the 24th, Martin of the 49th, Cox of the 28th, Blackmon of the
146th, Smith of the 138th, and others
A BILL TO BE ENTITLED
AN ACT
To amend Chapter 1 of Title 10 of the Official Code of Georgia Annotated, relating to selling
and other trade practices, so as to provide for rounding of total price of the sale of goods or
services when using legal tender; to provide for payment in exact change when using legal
tender; to provide for tax exemptions; to provide for certain immunities; to provide for
definitions; to provide for related matters; to repeal conflicting laws; and for other purposes.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION 1.
Chapter 1 of Title 10 of the Official Code of Georgia Annotated, relating to selling and other
trade practices, is amended by adding a new article to read as follows:
"ARTICLE 38
10-1-970.
As used in this article, the term:
(1) 'Legal tender' means all coins and currencies of the United States.
(2) 'Merchant' means any person engaged in the business of selling goods or services
engaging in in-person, face-to-face sales.
10-1-971.
(a) Notwithstanding any law to the contrary, any merchant in this state shall determine the
price of goods and services in the following manner for purchases using legal tender:
(1) The prices of the goods and services shall be totaled, including sales tax and any
other applicable tax; and
(2) If one cent, two cents, six cents, or seven cents is at the end of the resulting total,
such total shall be rounded down to the nearest five cents. If three cents, four cents, eight
cents, or nine cents is at the end of the resulting total, such total shall be rounded up to
the nearest five cents. Such rounding adjustment shall not be interpreted as impacting the
sales price of the purchase pursuant to Code Section 48-8-2 or the calculation of any
other tax.
(b) The provisions of this Code section shall not apply to transactions for which the total
amount is one or two cents, where such total shall be rounded up to five cents, or
transactions where payment is made by any demand or negotiable instrument, electronic
funds transfer, money order, credit card, debit card, gift card, electronic payment, other like
instrument, or mixed tender, unless cash is disbursed to the purchaser.
(c) Rounding to the nearest five cents may apply to the amount of the transaction or to the
amount of change tendered to the purchaser.
(d) While the one-cent piece of the United States remains legal tender, any merchant shall
accept exact payment in legal tender for the total amount due computed prior to any
rounding.
(e) No tax imposed by this state or any local governing authority shall apply to losses or
gains resulting from rounding pursuant to this Code section.
(f) Any merchant selling goods or services shall not be in violation of any requirements,
laws, regulations, or standards of a state, county, municipality, consolidated government,
or political subdivision of this state based on any action taken in compliance with this Code
section."
SECTION 2.
All laws and parts of laws in conflict with this Act are repealed.
## Summaries written by Georgia Commons
The following was written by claude-sonnet-5 from the text above and is not part of the bill. Quote the text, not the summary.
House Bill 1112 would let Georgia merchants round cash sale totals to the nearest five cents when the penny is scarce, instead of requiring exact-cent pricing for in-person purchases.
### Plain-language summary
Georgia law currently expects merchants to charge exact prices down to the penny. HB 1112 adds a new article to the state's trade practices law (O.C.G.A. Title 10, Chapter 1) that lets merchants round the total price of a cash transaction to the nearest five cents. If the total ends in 1, 2, 6, or 7 cents, it rounds down; if it ends in 3, 4, 8, or 9 cents, it rounds up; totals of exactly 1 or 2 cents round up to a nickel.
The rounding only applies to face-to-face purchases paid in cash (coins and currency), not to card, check, gift card, or other electronic payments unless cash is given as change. Merchants must still accept exact cash payment if a customer wants to pay the pre-rounded amount, as long as pennies remain legal tender. The bill also says rounding gains or losses are not taxable and shields merchants from being penalized under other state or local rules for following this rounding method.
### What it does
- Creates a new article in Georgia's trade practices law (O.C.G.A. Title 10, Chapter 1) letting merchants round cash sale totals to the nearest five cents.
- Sets specific rounding rules: totals ending in 1,2,6, or 7 cents round down; totals ending in 3,4,8, or 9 cents round up; totals of exactly 1 or 2 cents round up to a nickel.
- Limits the rounding option to in-person cash transactions, excluding card, check, gift card, and other electronic payments unless cash change is given.
- Requires merchants to still accept exact cash payment for the pre-rounded total as long as pennies remain legal tender.
- Exempts any gains or losses from rounding from state or local taxation.
- Protects merchants from being found in violation of other state, county, or local rules solely for following this rounding method.
### Who it affects
Retailers and other businesses that take in-person cash payments, their customers who pay with coins and cash, and state and local tax authorities, since the bill changes how cash totals are calculated and shields merchants from certain local penalties tied to rounding.
### Why it matters
With pennies becoming harder for businesses to obtain, this bill gives cash-accepting merchants a clear, legal way to round totals to the nearest nickel instead of struggling to make exact change, while making sure customers can still insist on paying the exact pre-rounded amount if they have it.
### Key provisions
- Section 1 adds Article 38 to Chapter 1 of Title 10, defining 'legal tender' as U.S. coins and currency and 'merchant' as anyone selling goods or services in face-to-face transactions.
- O.C.G.A. § 10-1-971(a) sets the rounding formula applied after taxes are totaled, rounding to the nearest five cents based on the final digit.
- O.C.G.A. § 10-1-971(b) limits rounding to cash transactions and excludes electronic or card-based payments unless cash change is disbursed.
- O.C.G.A. § 10-1-971(d) requires merchants to accept exact cash payment for the pre-rounded total while pennies remain legal tender.
- O.C.G.A. § 10-1-971(e) exempts rounding-related gains or losses from state and local taxation.
- O.C.G.A. § 10-1-971(f) shields merchants from violations of other state or local laws based on actions taken to comply with the rounding rule.
- Section 2 repeals any conflicting laws.
## Status
- Status: Passed (2026-05-11)
- Last action: Effective Date 2026-07-01 (2026-05-11)
- Sponsors: Carter Barrett, Charles Martin, Brent Cox, Shaw Blackmon, Vance Smith, Johnny Chastain, Chuck Hufstetler
- Official page: https://www.legis.ga.gov/legislation/72636
> The history, votes, and amendments (1,573 characters) are at https://georgiacommons.org/bills/2025-2026/hb1112.md?full=1