(1)Where an application is made for a licence under the M1Vehicles (Excise) Act 1971 for a vehicle which—
(a)appears to the Secretary of State to have been removed into the United Kingdom from a place outside the United Kingdom; and
(b)is not already registered under that Act,
he may refuse to issue the licence unless subsection (2) below applies to the vehicle.
(2)This subsection applies to a vehicle if the Secretary of State is satisfied in relation to the removal of that vehicle into the United Kingdom—
(a)that any value added tax charged on the acquisition of that vehicle from another member State, or on any supply involving its removal into the United Kingdom, has been or will be paid or remitted;
(b)that any value added tax or customs duty charged on the importation of the vehicle from a place outside the member States has been or will be paid or remitted; or
(c)that no such tax or duty has been charged on the acquisition or importation of the vehicle or on any supply involving its removal into the United Kingdom.
(3)This section shall have effect in relation to any application made on or after the day on which this Act is passed.