Dzulkefly instead said the incentive is aimed at encouraging private healthcare facilities to contribute to the public through the establishment of a welfare fund.

“PSM’s claims are a gross distortion of the facts. It is not for corporate profit. The funds must be used for critical surgeries, medicines and medical equipment for the public. Please check your facts.

“It is absolutely baffling that PSM would reject an initiative that provides free access to treatment for (lower-income) citizens. Do not politicise or weaponise healthcare issues,” he said in a post on X.

Under the government’s RESET strategy, private hospitals can qualify for tax incentives by setting up welfare funds, with those that actively contribute eligible for tax cuts.

The initiative is aimed at making private healthcare more accessible to underprivileged patients, with the fund to cover treatment, medication, welfare programmes and health screenings.

PSM central committee member NG Gandipan had described the incentive as unfair, saying private hospitals were corporations making high annual profits while public hospitals remained overstretched.

He said the scheme did not address structural issues in the public healthcare system and only allowed private hospitals to reduce their tax liabilities.

Gandipan instead called for higher taxes on the profits of private hospitals, and for such facilities to provide subsidised treatment as part of their licence conditions.