Tax Incentives for Machinery Purchases Such as Resonant Acoustic Mixers
“Popularly known as the “One Big Beautiful Bill,” the July 2025 reconciliation legislation strengthens the framework for recovering equipment investments. It restores full depreciation and interest expense deductions while accelerating the write-off of research and development costs.” – Mark Thomas, Senior Vice President, West Region Sales Director Key Equipment Finance, Key Bank
The One Big Beautiful Bill Act of 2025 includes large incentives for CAPEX expenditures that include machinery purchases such as processing equipment. Your purchase of a RAM processor may qualify. While we encourage you to discuss this with qualified tax professionals, here is a summary of the relevant guidelines:
Deductions
- Deduct the Full Cost
The program allows businesses to fully write off the cost of qualifying machinery. Qualifying equipment can be deducted up to $3.5 million, with phase-out starting at $5 million.
- Bonus Depreciation Deduction
The depreciation deduction rate has been restored to 100% and made permanent.
- EBITDA-based Interest Expensing
This less-restrictive calculation allows a larger portion of interest to be deducted on financed equipment.
- R&D Deductions
Immediately expense R&D-related equipment, instead of amortizing over five years.
Tax Credits
- Increased Advanced Manufacturing Investment Credit
This tax credit of up to 35% of the investment is available for qualifying US-made equipment and facilities, installed after 2025.
Other Opportunities
- Possible Opportunity Zone Advantage
There may be additional benefits based on specific opportunity zones.
This very favorable incentive plan can accelerate your ROI when purchasing a ResonantAcoustic® Mixer. Review this with your accounting department and tax consultants. You may have a new path to funding your new RAM machine!
