Seeka Kiwifruit Industries says tax changes will affect its bottom line this year.
In May's budget, the Government removed depreciation allowances on buildings, and cut the company tax rate from 30% to 28%. Both changes will take effect from July next year.
Seeka says the changes will reduce its full year after-tax profit by about $4.5million, and more adjustments may be needed depending on a review of which buildings are affected by the depreciation changes.
However, the company says the adjustment is a one-off, non-cash accounting entry which won't affect its underlying profitability, cashflows or dividend policy.
