David Reynolds will miss the next three rounds of the Supercars Championship following an investigation into his vaccination status.
The Albury driver raced at Sydney Motorsport Park last weekend having presented a vaccine exemption.
But NSW Health has ruled that Reynolds is not exempt from vaccination and he will not be allowed to race again until receiving both doses.
Supercars and Reynolds' Kelly Grove Racing team released a joint statement on Thursday morning.
"Throughout the COVID-19 pandemic, Supercars has staged all of its events in accordance with applicable state and territory government health requirements," it read. "This remains the case and will not change.
"In accordance with NSW Health Orders, in order to attend and compete at last weekend's Bunnings Trade Sydney SuperNight and the next three rounds of the Championship at Sydney Motorsport Park, all Supercars attendees and drivers must either be fully vaccinated with accepted COVID-19 vaccines or be exempt from vaccination.
"It is on this basis that the venue has an exemption to host up to 10,000 people per day.
"With NSW health authorities having reached this conclusion, David has had his first vaccine shot administered and has scheduled his second vaccine shot. While waiting for his second vaccine shot, however, David is not able to compete at the three upcoming Sydney Motorsport Park rounds of the 2021 Supercars Championship.
"Once fully vaccinated, as scheduled, David could be eligible to drive in the Repco Bathurst 1000."
Reynolds issued a short statement of his own.
"I'm shattered to be missing the next three Supercars events, but I understand and respect the health guidelines," he said.
"I want to thank Kelly Grove Racing and all of our fans and sponsors for their support and I can't wait to get back behind the wheel at Bathurst."
Supercars confirmed that Reynolds' participation at last weekend's round was 'in compliance with temporary protocols and conditions to protect he and other participants while the matter was resolved.'
The championship is racing at Sydney Motorsport Park four weekends in a row, after a hiatus of more than three months due to COVID restrictions.
Reynolds, who joined Kelly Grove Racing in January after leaving Erebus Motorsport, is 14th in the drivers championship.