SB 1810

The United States treasury has suspended production of the penny due to rising costs associated with its production. While the penny is still legal tender and may be used for transactions, the number of available pennies will decrease as loss or damage o ccurs without replacement. This bill requires a public or private entity that is engaged with business with the public and accepts cash payments to round off all figures in the total transaction to the nearest nickel if they do not have exact change available in accordance with al l of the following:  If the total amount ends in $0.01 or more but less than $0.03, the entity must round down to the nearest five-cent interval.  If the amount ends in $0.03 or more but less than $0.05, the entity must round up to the nearest five-cent interval.  If the total amount ends in more than $0.05, but less than $0.07, the entity must round down to the nearest five-cent interval.  If the total amount ends in $0.07 or more, but less than $0.10, the entity must round up to the nearest five-cent interval.  The entity must not round to the nearest nickel transactions completed electronically and for mixed-tender transactions, rounding applies only to the cash portion. TAXES This bill applies to entities engaged in collecting taxes, fees, surcharges, or other assessments, including sales tax. The total amount of the tax, fee, surcharge, or assessment to be collected must be rounded for purposes of completing the transaction with the customer. However, the entity must remit the exact amount to the appropriate governmental entity. TENNESSEE CONSUMER PROTECTION ACT OF 1977 Present law provides exemptions to the application of the Tennessee Consumer Protection Act of 1977. This bill adds to such list of exemptions rounding a cash transaction to the nearest nickel if the penny is no longer in production. ON FEBRUARY 23, 2026, THE HOUSE ADOPTED AMENDMENT #1 AND PASSED HOUSE BILL 1744, AS AMENDED. AMENDMENT #1 makes the following revisions:  Authorizes, instead of requires, a private entity that is engaged in business with the public and accepts cash payments to round off all figures used in the transaction amount to the nearest nickel, if exact change is not available.  Authorizes a financial institution that provides currency in exchange for a payment instrument received to round off all figures used in the transaction amount to the nearest nickel, if exact change is not available.  If the total amount of the transaction ends in more than $0.05, but less than $0.08, authorizes the entity to round down to the nearest five-cent interval.  If the total amount of the transaction ends in more than $0.08, but less than $0.10, authorizes the entity to round up to the nearest five-cent interval.  Removes the requirement that public entities collecting taxes, fees, surcharges, or other assessments round transactions to the nearest nickel for the purpose of completing the transaction with the customer.