The proposed bill amends Alaska's current law by introducing a new section, AS 45.45.940, which establishes guidelines for rounding cash transactions to the nearest five cents. According to the bill, sellers who choose to round cash transactions must first calculate the total price of goods and services, including any discounts and applicable taxes. The rounding rules specify that if the total ends in one or two cents, or six or seven cents, it should be rounded down, while totals ending in three or four cents, or eight or nine cents, should be rounded up to the nearest amount divisible by five cents.

Additionally, the bill clarifies that these rounding rules do not apply to transactions made through electronic payment methods such as credit cards or electronic funds transfers. It also states that any tax imposed by the state or local government will not be affected by the rounding process, meaning that sellers will not incur tax liabilities based on any gains or losses resulting from rounding. The definition of "seller" is also provided, encompassing individuals or entities engaged in the sale of goods or services.

Statutes affected:
HB0281A, AM HB 281, introduced 01/26/2026: