Sole Traders

What is a UTR number?

A UTR (Unique Taxpayer Reference) number, also known as a tax reference, is a 10-digit number issued by HMRC to individuals and limited companies in the UK. It is primarily used for registering and managing self assessment tax return for individuals. This number is essential for sole traders, freelancers, and anyone with untaxed income to file their personal tax returns and pay income tax accurately.

Who needs a UTR number?

A UTR number is essential for anyone who needs to register for Self Assessment with HMRC. You will need a UTR number if you have any untaxed income, including the following:

• Partners in general partnerships, limited partnerships, or limited liability partnerships (LLPs). 
• Freelancers and self-employed individuals with annual earnings exceeding £1,000. 
• Persons receiving rental income above £2,500 from land or property based in the UK. 
• Contractors and subcontractors under the Construction Industry Scheme.
• Individuals earning capital gains above the allowance of £3,000. 
• Employees claiming annual expenses above £2,500 per year. 
• Shareholders receiving annual dividends above £10,000. 
• Any individual with a taxable income of over £150,000. 
• People who receive foreign income of any amount.
• Company directors with untaxed income. 

If you receive income not taxed at the source or fall into any of these categories, you will need a UTR number to file your tax returns and comply with HMRC requirements.

See also: Limited Liability Partnership (LLP) Advantages and Disadvantages

How do I register for a unique taxpayer reference number?

To register for a personal UTR number, follow these steps:

• Visit the official HMRC website: https://www.gov.uk/register-for-self-assessment.
• If you are self-employed, you need to register for both Self Assessment and Class 2 National Insurance Contributions.
• Use your Government Gateway User ID and password to access the registration portal.
• You will need to supply the following personal and business information:some text
  • Personal Details (such as your name, date of birth, national insurance number, contact information and home address)
  • Business Details (including your trading name, business address, business start date and the nature of your business.)
• HMRC provides a helpful video guide that walks you through the registration process. Use it for additional clarity.
• Once registered, HMRC will send your UTR number by post within 1-2 weeks. You will also receive an activation code, which must be used to activate your account within 28 days of receipt.

Following these steps ensures your successful registration for a UTR number and compliance with HMRC requirements.

How do I get a business tax number?

When you register a company in the UK, your business tax number, known as the Unique Taxpayer Reference (UTR), is automatically assigned by HMRC and is used as part of the corporation tax process. As part of the registration process with Companies House, you will receive a certificate of incorporation, which confirms your company has been officially registered. Shortly after this, HMRC will send your company UTR number to the registered office address you provided during registration.

This 10-digit UTR number is crucial for managing your business’s tax obligations, including filing tax returns and correspondence with HMRC. If you don’t receive your UTR number within a few weeks of incorporation, you should contact HMRC to ensure everything is in order.

I've lost my UTR number. Can I get a new one?

You cannot get a new number, as it is assigned to you for life and remains the same regardless of changes in your circumstances. However, if you have lost it, you can easily retrieve your self assessment unique taxpayer reference.

How do I find your utr number?

If you previously registered for Self Assessment through HMRC's online service, you would have received your UTR number by post within 10 days of registration. If you’ve misplaced it, you can retrieve it through the following methods:

1. HMRC App or Personal Tax Account: Log in to your personal tax account or the HMRC app, where your UTR number is displayed under your tax details.
2. Past Correspondence from HMRC: Check any letters or emails from HMRC, such as your self-assessment welcome letter, which includes your UTR number.
3. Contact HMRC Directly: If you cannot find your UTR number using the above methods, you can contact HMRC directly. Be prepared to provide personal details to verify your identity.

Remember, your UTR number is unique and permanent, so retrieving it ensures continuity in managing your tax obligations.

Do I need a unique tax reference to register for self assessment?

No, you do not need a UTR number to start the registration process for Self Assessment. When you register for Self Assessment through HMRC’s online service, you use your Government Gateway credentials to complete the process. After registering, HMRC will generate your UTR number and send it to your registered address by post.

Will I need to change my unique tax reference number if I change jobs?

No, your UTR number is permanent and does not change, even if your self-employment circumstances change. HMRC assigns it to you for life, and it remains the same whether you are employed, self employed, or switching between different types of work.

Your UTR number is tied to your tax records, not your employment status. It will remain valid for all tax-related activities, including self assessment filings or other tax obligations. Keep it safe, as it will remain essential to your interactions with HMRC.

Can I register for a UTR number if I am not self employed?

Yes, you can register for a personal UTR number even if you are not self-employed. A UTR is required for anyone who needs to file a self-assessment tax return. This includes individuals with untaxed income from sources such as:

• Rental property income.
• Employee expense claims exceeding £2,500 per year.
• High-income earners with over £150,000 annually in earnings.

Even if you are employed, certain circumstances may require you to register for self-assessment and obtain a UTR number to report your income and ensure compliance with HMRC regulations.

Do you need a UTR number to submit your return?   

Yes, you need a personal tax number to submit your returns. This 10-digit number is essential because it links your tax return to your tax records and income history with HMRC. Without it, HMRC cannot process your return or accurately record your tax information.

Can I access my UTR number if I don’t have my HMRC login details?

If you lose your HMRC login details, you can still access your UTR number. One of the simplest ways to find it is to check past correspondence from HMRC. Your UTR number is included on documents such as your self-assessment welcome letter, tax return notices, payment reminders, or statements of account, which should have been sent to the address registered with HMRC.

If you cannot locate any correspondence, you can recover your Government Gateway ID or password. To do this, visit the HMRC sign-in page and select the option to retrieve your login details. You’ll be guided through a process to verify your identity, which requires access to the email address associated with your Government Gateway account.

Once you’ve regained access to your account, you can log in to your personal tax account or the HMRC app, where your UTR number will be displayed. If you cannot recover your login details or encounter difficulties, you can also contact HMRC directly to retrieve your UTR number.

How do I contact HMRC to request a lost UTR number?

You can reach out to HMRC using the following methods:

1. Social Media (X, formerly Twitter):some text
   • Handle: @HMRCcustomers
   • Opening hours:some text
     • Monday to Friday: 8 am to 8 pm
     • Saturday: 8 am to 4 pm
2. Telephone:some text
   • Within the UK: 0300 200 3600
   • Outside the UK: +44 161 930 8445
   • Phone line opening hours:some text
     • Monday to Friday: 8 am to 6 pm
     • Closed on weekends and bank holidays.

When contacting HMRC, make sure to have any relevant details, such as your National Insurance number, to expedite the assistance process.

UK Personal UTR Number Explained.