FTT Rules Hair Transplant Services by AHT Subject to VAT, Not Medical Care Exempt.

• The FTT evaluated if Advanced Hair Technology Ltd’s hair transplant services qualified for VAT exemption as medical care.
• AHT argued their services restored health, qualifying for VAT exemption.
• HMRC claimed the procedures were cosmetic, focusing on appearance rather than medical treatment.
• The FTT examined the definition of medical care for VAT purposes, noting no statutory definition exists.
• The FTT concluded the hair transplant services were primarily cosmetic and did not qualify for VAT exemption.
• AGA was seen as a normal aging condition, not a disease needing medical intervention.
• The FTT noted VAT exemption should be assessed case-by-case, with some treatments potentially qualifying.
• The FTT upheld HMRC’s decision, subjecting AHT’s services to standard rate VAT.
• The decision emphasizes evaluating the primary purpose of treatments for VAT exemptions, distinguishing medical care from cosmetic procedures.

Source: rpclegal.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.