Pak'nSave claims it was following the rules when staff asked for personal tax information from a shopper who spent more than $1000 in a shop. Photo / Greg Bowker
Pak'nSave claims it was following the rules when staff asked for personal tax information from a shopper who spent more than $1000 in a shop. Photo / Greg Bowker
Pak’nSave followed the law by requesting customer details for purchases over $1000, per 2023 legislation.
The supermarket apologised for not explaining the requirement, causing frustration and confusion for shoppers.
Inland Revenue requires businesses to record customer details for large transactions to comply with tax rules.
It comes as more shoppers have revealed they’ve been caught out by the little-known legislation.
Pak’nSave Whanganui apologised after staff asked Taysha Williams for personal information without explanation after she paid for her groceries and barred her from leaving, in an ordeal she described as “embarrassing”.
The supermarket said it sincerely regrets the frustration and confusion, but it was complying with tax rules.
IRD spokesperson Gay Cavill told the Herald businesses registered for GST are required to keep a record of a customer’s details if they spend more than $1000 in one transaction.
Under legislation passed in 2023, businesses must keep the customer’s name and another form of contact, including their physical/postal address, phone number, and email. It can also cover a trading name, if different to the buyer’s name, and a New Zealand business number or website.
Pak’nSave Whanganui also took to Facebook to clarify its policy.
“Under tax legislation introduced in 2023, businesses are required to collect certain details for purchases over $1000 to ensure compliance with tax rules.
“Unfortunately, in this instance, we didn’t explain this properly and we sincerely regret the frustration and confusion caused.”
The supermarket said it reached out to Williams to apologise directly and would be working to ensure its staff were “better prepared to communicate clearly and respectfully” in future.
In addition, a Foodstuffs spokesperson told the Herald that since Pak’nSave doesn’t have a loyalty programme, they had to ask for Williams’ details at the counter.
A Whanganui supermarket apologised after telling a customer who bought more than $1000 of groceries at its store she was required to divulge personal details related to the transaction. Photo / 123RF
More customers complain
It comes as more shoppers have spoken to the Herald about similar experiences at supermarkets.
BusinessDesk staffer Jacques Steenkamp had the same experience twice in Pak’nSave in Botany.
“The first time, I made quite a scene because I felt targeted and did not want to hand over my details,” he said.
“They claimed it was their rules, but my argument was that why would the Government need such details if they have your tax records, etc?
“Everybody looked at us like we were thieves or criminals. It was super embarrassing. The second time around, I at least expected this song and dance.”
Matthew Henwood told the Herald he experienced funny looks and restrictions for “trying to feed his large family”.
“We often have Pak’nSave bills close to $1000. To me, amounts like this and store limits on items are discriminatory towards larger families and need to stop,” he said.