Tribunal says yes – so what does this mean for dental providers?
A recent First-tier Tribunal ruling in Align Technology Switzerland GmbH and Align Technology BV v HMRC ([2025] UKFTT 462 (TC)) has brought welcome clarity to the VAT treatment of Invisalign clear aligners and similar orthodontic devices.
The Tribunal held that Aligners are dental prostheses for the purposes of UK VAT legislation, meaning they qualify for exemption under Items 2 and 2A, Group 7 of Schedule 9 to the VAT Act 1994. This outcome overturns HMRC’s view that such appliances should be standard rated, and it may offer opportunities for dental practices and suppliers to review historic VAT treatment.
The background
Align Technology manufactures Invisalign aligners — custom-made, removable orthodontic appliances designed to treat misaligned teeth. HMRC had argued that these were not dental prostheses and therefore subject to VAT at the standard rate.
Align Technology appealed, arguing that the Aligners are used to restore function and are prescribed as part of clinical dental care — and therefore fall within the exemption.
The Tribunal’s view
The Tribunal agreed with Align. Key findings included:
• The Aligners are bespoke, functional devices prescribed by registered dental professionals to restore bite function — not simply cosmetic products.
• While not replacing missing teeth, the Aligners are “orthodontic appliances” and therefore meet the definition of dental prostheses as interpreted in modern clinical use.
• Denying the exemption would undermine its purpose: to ensure access to essential health-related products and services is not hindered by VAT.
The Tribunal also chose not to follow the EU VAT Committee’s narrow interpretation that excluded orthodontic appliances, noting that it lacked full consensus and reasoning.
What this means for dental providers
This decision provides clarity for dental and orthodontic providers who supply or use similar devices. It reinforces the principle that VAT exemptions should reflect clinical function and therapeutic use, not just whether something is a direct replacement for a missing body part.
Where VAT has previously been charged on these types of products, there may now be grounds to:
• Reassess current VAT treatment and pricing structures
• Submit a claim for VAT overpaid in previous periods
• Consider updating internal processes and invoicing
Were you previously assessed by HMRC for VAT on similar products?
If your business has previously been assessed by HMRC for VAT on the supply of aligners or similar dental appliances, this decision may now open the door to reclaiming that VAT. Depending on the facts and time limits, you may be able to:
• Challenge the basis of previous assessments
• Submit a claim to recover VAT paid, with interest where appropriate
• Reduce ongoing risk of non-compliance
We would strongly recommend a review if you’ve been subject to HMRC scrutiny on this issue in the past.
How we can help
The Hazlewoods VAT team advises a wide range of dental and healthcare clients, and we are well placed to:
• Review your historic treatment of dental appliances
• Assess whether you may be eligible for a claim
• Guide you through the process of reclaiming VAT or correcting past returns
• Support with any HMRC correspondence
If you think this ruling may apply to your business — or you’re unsure — we would be happy to speak with you.
Contact the Hazlewoods VAT team to discuss your options.
