According to Bernama, prime minister and finance minister Anwar Ibrahim said the tax relief will be up to RM8,000 for annual net savings in SSPN.

The National Higher Education Fund Corporation (PTPTN) introduced the scheme in 2004 with the ultimate goal of reducing student debt. It allows parents to save up for their children’s education, get tax relief of up to RM8,000 each year, and takaful protection at the same time.

Deputy finance minister Steven Sim had reportedly said the tax relief would be discontinued as the government was already giving other exemptions, such as a 2% tax cut for individual income taxes and increased relief for medical expenses.

Both government and opposition MPs, including MCA’s Wee Ka Siong and Bersatu’s Wan Saiful Wan Jan, have spoken against the discontinuation of the tax relief for SSPN.

Wee, the Ayer Hitam MP, urged the government to rethink its decision, while Tasek Gelugor MP Wan Saiful described the discontinuation of the SSPN as “anti-rakyat”.

In a Facebook post today, Sim said Anwar took note of the concerns and complaints on discontinuing the tax exemption, adding that they discussed the matter yesterday.

The deputy minister praised the prime minister for being open to other views and prioritising the people’s interests.