PUTRAJAYA has decided to extend the individual income tax relief for the National Education Savings Scheme (SSPN) until 2024, Deputy Finance Minister II Steven Sim said.

The Bukit Mertajam MP said Prime Minister Anwar Ibrahim agreed to the move after grouses and views of the public were brought to his attention.

“This morning, Prime Minister Anwar announced the government will extend the tax relief for SSPN until 2024.

“The government is not infallible, but we have a prime minister who is always open to listen and prioritise the interest of the people, and, most importantly, act quickly,” Sim said in a Facebook post today.

On March 27, Sim said the government would discontinue individual tax relief for SSPN contributors.

He said the decision was due to the two-percentage-point reduction in income tax for the M40, higher medical claims, and other forms of tax reliefs.

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

The National Higher Education Fund Corporation introduced the savings scheme in 2004 to reduce student debt.

It allows parents to save for their children’s education, get tax relief of up to RM8,000 each year, and obtain takaful protection. – March 29, 2023.