- The Upper Tribunal (UT) allowed Illuminate Skin Clinics Ltd’s appeal against the First-tier Tribunal (FTT) decision that VAT exemption for medical care did not apply to their aesthetic treatments.
- The UT remitted the case back to the FTT with guidance to reconsider its decision, emphasizing a multi-factorial approach to determining the primary purpose (cosmetic vs. therapeutic) of the treatments.
- The UT found the FTT erred in law by not giving sufficient weight to consultation documents as evidence for diagnosis of health disorders.
- Three of the four appeal grounds were dismissed; only the ground regarding the narrow assessment of therapeutic purpose succeeded.
- The case clarifies that VAT exemption for medical care may apply to some aesthetic treatments if a therapeutic purpose is established.
Source: claritaxnews.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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