Try replacing your HTML with this:
<div style="text-align:center">TEST 2</div><ul><li>Indications/Contraindications</li><ul><li>FDA approved for:</li><ul>{{c1::<li>GAD</li>}}</ul><li>Offlabel use:</li><ul>{{c1::<li>Unipolar depression (augmentation, off-label use)</li><li>SSRI associated sexual dysfunction</li><li>Movement disorders (third/fourth line)</li><li>Shivering, targeted temperature management</li>}}</ul><li>Major contraindications:</li><ul>{{c1::<li>Hypersensitivity to buspirone or its components</li><li>Concurrent use of MAOIs</li>}}</ul></ul></ul>
The alignment and the cloze syntax now seem to behave correctly on my computer.
If it still does not work correctly on your end, please send a screenshot of the Styling section of your notes (you can access it by cliking on the Cards... button at the top of the Editor or pressing Ctrl+L).
To summarize the changes, I tried to simplify and tidy up the code a bit. For details about the HTML, see the spoiler.
Some technical details for future reference
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if there are opening and closing tags straddling
{{c1::or}}, they will often interfere with the cloze-syntax and will make the cloze deletion not render properly.
E.g.:<li>{{c1::</li>or<ul>{{c1::Example </ul>}} -
In general, it is advisable to keep the opening (
<tag>) and closing (</tag>) tag either both inside or both outside the cloze.
E.g.:<ul>{{c1::<li>Example</li>}}</ul> -
You can check which opening tag corresponds to which closing tag, by clicking on either of them in the HTML editor. Anki should automatically highlight both of them:
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To make the alignment of the Front side of the card more consistent, make sure that all the clozes follow the same pattern regarding
<ul>e<li>.
E.g. usually you should not have both<ul>{{c1::Example}}</ul>and{{c1::<ul>Example 2</ul>}}in the same note.
If this does not fix it and/or you have any questions, please ask!