Automation Capital Allowance (Automation CA)

A 200% capital allowance on automation and Industry 4.0 equipment for manufacturing and services companies, which reduces taxable income.

Run by

MIDA

Funding

Amount varies

200% capital allowance on the first RM10m of qualifying expenditure per year of assessment (YA 2023 to 2027)

Your share

Company funds the equipment; the benefit comes as tax relief

Who can apply

• Malaysian-incorporated, tax-resident company
• At least 36 months of manufacturing or services operations
• Valid manufacturing licence/exemption or relevant services licence
• Equipment must be automation or Industry 4.0 related, verified by SIRIM

How to apply

Submit the application to MIDA online; SIRIM verifies that the equipment qualifies before MIDA approves.

Timing

Applications to MIDA from 1 Jan 2023 to 31 Dec 2027

Last checked

2026-10-11

Official page ↗