If the full Juneau Assembly advances the proposal at its Aug. 21 meeting, voters will get the final say through a local ballot question in the October municipal election. As amended Wednesday, the extra 2 percent tax would be in effect from 2018 through 2021.
Separate from the sales tax exemption, the Juneau Assembly had its first reading on an ordinance to earmark sales tax revenue to keep paying lawyers retained to fight the cruise industry’s lawsuit against the city.
The city’s finance department concluded last year that cruise ships are legally liable to collect local sales tax and could raise as much as $100,000 annually. But an ordinance considered by the Juneau Assembly on March 6 would exempt onboard transactions as a friendly gesture to the industry.