The Equipment Leasing & Finance Association (ELFA) has applauded the passing of the US Administration’s One Big Beautiful Bill Act which changes the laws around how businesses are able to claim equipment deductions.

The ELFA represents financial services companies and manufacturers in the USD1 trillion equipment finance sector.

Under the Act, 100% expensing and EBITDA-based interest deductibility have been made permanent.

“Permanent 100% expensing allows companies to immediately deduct the full cost of equipment purchases, rather than spreading deductions over years,” ELFA explains. “This boosts capital investment, accelerates innovation, and drives productivity — especially in capital-intensive sectors that rely on financing.”

ELFA says the EBITDA-based interest deduction standard means businesses can also deduct interest expenses based on earnings before depreciation and amortisation, which it says provides “a more generous and accurate measure of financial capacity, especially for capital-intensive industries”. 

The organisation says the changes help to ensure companies are able to continue to access the finance needed to “invest, grow and compete”.

ELFA president and CEO, Leigh Lytle adds: “These provisions are foundational to a healthy, competitive environment for business investment”.

“Making them permanent provides the certainty our industry needs to continue helping businesses acquire equipment that powers their growth,” Lyle continues. 

Meanwhile, the pause of international tariffs imposed by the US, was lifted yesterday. We will report on details and how it impacts our sector, as they become available.