Members of the public took cover after a gun was fired in broad daylight at 7pm in front of about 50 people in a Kmart car park.

Wagga man Daniel Boyton, aged 27, and an Albury woman, 23, were arrested at a motel on High Street a short time later, with a firearm seized.

Mr Boyton was charged on Thursday and the woman released without charge.

Charges included shooting at a person in a populous area, reckless conduct endangering serious injury and breaching an order.

Mr Boyton appeared before the Wodonga Magistrates Court and did not apply for bail.

Lawyer Mario Vaccaro said his client would likely apply for bail on Monday.

He said Mr Boyton was on Suboxone, which he had a script for in Wagga, and was in withdrawal.

"It's causing issues for him," he said.

A bystander on Thursday said they saw two men arguing outside the business before the gun was fired.

It was unclear how many rounds were discharged - one person believed they heard two shots - but one small bullet hole was visible in a steel pole outside the retailer.

Some people moved to safety while the incident unfolded as others called triple zero, as a man and woman left the scene in a vehicle.

A witness took note of the vehicle's number plate.

A worker at a business nearby who wrote down the plate number said the man who was shot at left the scene and police arrived a short time later.

About a dozen officers attended the area Thursday and a metal detector was used near a bullet hole in the beam outside Kmart as measurements and photographs were taken of the crime scene.

Victoria Police Wodonga Local Area Commander Inspector Paul Hargreaves said Wednesday night's incident followed a "brief altercation" between two men which occurred about 7pm.

"Shortly after that one of the males is alleged to have returned and fired a firearm," he said.

"As a result of that, that male soon after fled and he was located shortly after on High Street, where he was arrested in company with a female person."