The International Automobile Federation cancelled all McLaren's points in the Formula 1 constructor's championship on Thursday at a Paris hearing into the sport's spying controversy.
The ruling means that Ferrari will almost certainly now win the constructors' championship, which McLaren was leading by 23 points after last weekend's Italian Grand Prix.
Under the ruling, McLaren's drivers - championship leader Lewis Hamilton and reigning world champ Fernando Alonso - were allowed to keep their points in the drivers' championship.
FIA said this was because they had provided evidence in the investigation.
McLaren, which was accused of using leaked Ferrari information to enhance its racing cars, was also fined 100,000 dollars by the governing FIA's World Council.
Enquiries were said to be still under way to decide possible sanctions against McLaren for 2008.
Ferrari welcomed the news, saying in a statement that it was "satisfied that the truth has emerged".
McLaren and Ferrari have been engaged in an off-the-track struggle for much of the season because of a 780-page dossier of Ferrari information found in the hands of McLaren's suspended chief designer Mike Coughlan.
The FIA shocked the Italian team in July by saying it could not punish McLaren for unauthorised possession of Ferrari information because there was no evidence the material had been used to gain an advantage in the championship.
But FIA then acquired copies of e-mails received by McLaren drivers Fernando Alonso and Pedro De La Rosa which reportedly indicated that the leaked Ferrari information was used to develop McLaren's cars.
Thursday's ruling appeared to indicate that Alonso and Hamilton had given FIA the emails or other material which incriminated their team.
Hamilton and Alonso, who is second in the championship, will meet Ferrari's Kimi Raikkonen and Felipe Massa, who are third and fourth, on the track this weekend at Spa for the Belgian Grand Prix.
Ferrari Chairman Luca Cordero di Montezemolo said on Tuesday that if the Italian Formula 1 team were to win the 2007 championship by default, it would be a deserved triumph.
"If we won the world championship by default it would still be a deserved victory," he said. "It would mean that the apparent winner had acted in an unfair way".
