You are entitled to use your vehicle free of UK taxes anywhere within the EU, subject to the following:
- Your stay in the UK must not exceed two months from the date of delivery
- You and the vehicle must leave the UK within the two-month period – otherwise, you will be liable for the unpaid VAT, and possibly forfeiture of the vehicle and/or a fine as well
- On arrival at your destination within the EU, the vehicle must be declared and the duties paid
If you are a member of HM Forces and are posted to Germany, you are entitled to purchase one new car per year. However, the vehicles must be registered with the BFG Licensing Authority for one full year before they can be disposed of without incurring penalties for premature disposal. The exception to this would be if you moved to the UK on permanent transfer of residence.