More than 40% of surveyed Equipment World readers are considering using the Section 179 tax deduction when planning their year-end equipment purchases.
When asked about any equipment purchases planned by year-end, 19% of surveyed contractors said they would be buying specifically to take advantage of IRS Section 179, which allows businesses to deduct 100% of the purchase price of new and used machines.
Another 24% of contractors said Section 179 was a factor in their year-end purchases but not the deciding factor. Another 18% said they will be buying new machinery by the end of 2026 but were not considering Section 179 in those decisions.
The remaining 39% of contractors said they won’t be purchasing any more equipment this year.
In all, the online poll on equipmentworld.com generated 116 responses from contractors and ran from September 23 to October 5.
In a February 2026 reader poll, 78% of surveyed contractors said they plan to purchase at least one machine in 2026, with 47% planning one to three pieces of equipment.
For 2026, the max deduction possible under Section 179 is $2,560,000, and deductions phase out dollar-for-dollar when the total cost exceeds $4,090,000 and are fully phased out at $6,650,000. Both new and used machinery qualify for Section 179 benefits, and the machine must be used for business purposes more than 50% of the time.
Powered byFor more information from Associated Builders and Contractors on how contractors can understand and utilize Section 179, click here.
