In the unlikely event you find a used car for which the VAT was originally reclaimed, it will be described by the seller as ‘VAT Qualifying’. This means that a VAT-registered individual or company buying the car solely for business use can reclaim the VAT from the purchase price.
If you sell a car on which you recovered VAT then you must account for output tax on the full selling price. You must issue a tax invoice to a VAT-registered buyer who requests one. Sales of these vehicles are not exempt and they cannot be sold under the second hand margin scheme.