Some businesses still adjusting after sales tax exemptions take effect
- Mark Sabbatini
- Nov 21
- 2 min read
Registers at Safeway and Fred Meyer still charging 5% tax on ‘essential food’ Friday; customers able to request refunds
By Mark Sabbatini
Juneau Independent
City officials said it might take a bit for some businesses to adjust to the new sales tax exemptions on food and utilities that took effect Thursday, and two of Juneau’s main supermarkets are among them.
Safeway and Fred Meyer both were still automatically charging a 5% sales tax for "essential" foods on Friday, although employees at the stores were manually removing the extra charges — which customers needed to request in the self-checkout lanes. The taxes also showed up when placing online orders at both stores’ websites.
Officials at both supermarkets said the problem should be resolved quickly.
"We apologize for the delay in implementation the sales tax exemption on food at the Juneau Safeway, due to a communication error between our local team and tax department," Sara Osborne, a spokesperson for the regional division of Albertsons Companies Inc., Safeway’s parent company, stated in an email Friday. "We are working to update our systems promptly. Any customer who purchased food at the Juneau Safeway on November 20th or November 21st can receive a refund for any food tax paid by returning to the store with your receipt. The systems will be corrected to reflect the exemption by November 22nd. We sincerely regret any inconvenience this error has caused our customers."
Fred Meyer is also adjusting its point-of-sale system, which is expected to take one to three days, said Antonette Zukas, home department manager for the Juneau store.
City Manager Katie Koester, in an email to the Juneau Independent on Friday, stated "I appreciate that it may take some time for vendors and utilities to get up to speed with the new normal and we will try and be as understanding as possible while making sure the voter’s will is carried out expeditiously."
Voters approved the sales tax exemptions in the Oct. 7 municipal election and they took effect 30 days after the results were certified. The exemptions apply to groceries defined by the Food and Nutrition Act of 2008 —which also determines what can be purchased with food stamps — with hot foods and alcohol among the items that don’t qualify. The utility exemption applies to "sale of electricity, heating fuel, water and wastewater service, refuse and recycling collection" involving a primary residence, including disposal at a landfill of items from the residence.
• Contact Mark Sabbatini at editor@juneauindependent.com or (907) 957-2306.
