What type of vehicle purchases cannot have VAT claimed on them?

Claiming VAT on vehicle purchases is subject to specific regulations, particularly concerning how the vehicles are used. The reason why cars used privately cannot have VAT claimed on them is primarily due to the nature of their use. If a car is used for both business and personal purposes, the tax authorities stipulate that VAT cannot be reclaimed because the vehicle is not employed exclusively for business activities.

In the case of company vans, these are typically categorized as vehicles used for business purposes, allowing VAT to be reclaimed. Second-hand vehicles also have provisions regarding VAT reclaim based on their purchase circumstances and intended use. Bicycles can generally be claimed for VAT if they are primarily used for business purposes. Hence, the restriction on reclaiming VAT primarily focuses on vehicles that are used privately, ensuring that allowed claims align with the business use standard set by tax regulations.