2026 Tax Law Changes: Equipment Deductions Update

2026 Tax Law Overview

Tax laws change every year. 2026 brings new rules. Stay informed. Plan accordingly. Maximize your equipment deductions.

Key 2026 Changes for Equipment

Capital Allowance Rates

• Initial allowance: Still 20-40%
• Annual allowance: Still 10-20%
• No major changes: Rates remain stable
• Claim as before: Same process applies

Special Allowances

• Investment tax allowance: May expand to more industries
• Reinvestment allowance: Continues for expansion
• Accelerated allowance: Green technology emphasis
• Check eligibility: More equipment may qualify

What Stays the Same

• Capital allowance calculation: Same formula
• Interest deduction: Still 100% deductible
• Documentation requirements: Same record keeping
• Audit process: Similar procedures

Financing Rules Update

Factor	2026 Status
Down Payment Rules	No law change - Banks still require 10-20%
Equipment Age Limits	Banks still restrict to 5 years
Capital Allowance	Same for all - Bank or Ing Heng

Ing Heng Credit: Unchanged Benefits

Despite tax law changes, our benefits remain:

• 0% down payment: Still available
• 100% full loan: Complete financing
• NO age limit: Any equipment accepted
• Fast approval: 24-48 hours

Green Technology Incentives

2026 may emphasize green equipment:

• Electric vehicles: Enhanced deductions possible
• Energy-efficient machines: Special allowances
• Solar equipment: Tax credits may apply
• Check LHDN updates: For new green incentives

How to Stay Updated

1. Check LHDN website: Official updates
2. Read Budget 2026: Tax announcements
3. Consult accountant: Professional advice
4. Review publications: Tax guides and updates

Planning for 2026

Early Year Planning

• Review new rules: January-February
• Adjust strategy: Based on changes
• Buy early: If beneficial rules change

Ongoing Monitoring

• Watch for updates: Throughout the year
• Adjust purchases: As rules evolve
• Maximize benefits: Under new rules

0% Down Payment in 2026

Our 0% down payment advantage continues:

• No law changes: Our terms remain
• Same tax benefits: As other financing
• Better cash flow: Always our advantage
• More equipment options: NO age limit

Used Equipment in 2026

Used equipment financing continues:

• Same capital allowance: On used equipment
• Banks still restrict: 5-year age limit
• Ing Heng accepts: Any age equipment
• Lower cost option: Same tax percentage

2026 Action Plan

1. Review tax changes: Early in the year
2. Consult accountant: Understand impact
3. Plan equipment buys: Around new rules
4. Use 0% down: Maximize cash flow
5. Consider used: For cost savings
6. Keep updated: Throughout the year

Real Adaptation Story

"Tax laws changed 2025. New incentives introduced. Accountant advised buying different equipment. Changed plans to qualify for new allowances. Bought energy-efficient forklift. Got accelerated allowance. Extra deduction saved money. 0% down payment preserved cash. Adapting to tax changes is smart. Always check for new benefits. Plan purchases around incentives."

— Zainal Abidin, Warehouse Owner

Stay Informed in 2026

Tax laws change but our advantages remain. 0% down payment always available. 100% full loan any equipment. NO age limit expands options.

We approve in 24-48 hours. Plan your 2026 equipment purchases with current information today.