Article 7 I1C1

the supply F2(including a letting on hire) to a taxable person;

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the importation by a taxable person,

the motor car is—

the motor car forms part of the stock in trade of a motor manufacturer or a motor dealer;

the supply is a letting on hire of a motor car which is not a qualifying motor car F9(other than a supply on a letting on hire of a motor car which is not a qualifying motor car by virtue only of the application of paragraph (2C) below, to a person whose supply on a letting on hire prior to 1st August 1995 resulted in the application of that paragraph);

the motor car is unused and is supplied to a taxable person whose only taxable supplies are concerned with the letting of motor cars on hire to another taxable person whose business consists predominantly of making supplies of a description falling within item 14 of Group 12 of Schedule 8 to the Act; or

the motor car is unused and is supplied on a letting on hire to a taxable person whose business consists predominantly of making supplies of a description falling within item 14 of Group 12 of Schedule 8 to the Act, by a taxable person whose only taxable supplies are concerned with the letting on hire of motor cars to such a taxable person.

it has never been supplied F12... or imported in circumstances in which the VAT on that supply F13... or importation was wholly excluded from credit as input tax by virtue of paragraph (1) above; or

a taxable person has elected for it to be treated as such.

is first registered on or after 1st August 1995;

was supplied to, F14... or imported by, him prior to that date in circumstances in which the VAT on that supply F15... or importation was wholly excluded from credit as input tax by virtue of paragraph (1) above; and

had not been supplied on a letting on hire by him prior to 1st August 1995.

exclusively for the purposes of a business carried on by him, but this is subject to paragraph (2G) below; or

primarily for a relevant purpose.

to provide it on hire with the services of a driver for the purpose of carrying passengers;

to provide it for self-drive hire; or

to use it as a vehicle in which instruction in the driving of a motor car is to be given by him.

let it on hire to any person either for no consideration or for a consideration which is less than that which would be payable in money if it were a commercial transaction conducted at arms length; or

make it available (otherwise than by letting it on hire) to any person (including, where the taxable person is an individual, himself, or where the taxable person is a partnership, a partner) for private use, whether or not for a consideration.

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“self-drive hire” means hire where the hirer is the person normally expected to drive the motor car and the period of hire to each hirer, together with the period of hire of any other motor car expected to be hired to him by the taxable person—