Business SupportSelf-Employed

Beginners Guide To UTR Numbers

Welcome to our Beginners Guide To UTR Numbers. Here at Cedar Accounting, we work with a lot of new businesses and tradespeople. These business owners are highly skilled and passionate about what they do. However, numbers and accounting often aren’t their thing. That’s why they come to us. We can explain accounts in simple terms. We know that numbers and accounts aren’t everyone’s favourite things!

One question we are often asked is about UTR numbers.

So, in this blog post we thought we would share a beginner’s guide to UTR numbers. If you have any further questions about your UTR number, just give our friendly team a call. We are here to help you.

Your UTR is also known as a Unique Taxpayer Reference. It is a ten-digit code that is unique to you or your company. The idea of the UTR is for HMRC to recognise you. It is used for anything and everything that has to do with your tax obligations. Your UTR number will never change. It will stay exactly the same throughout your life. It’s similar to your National Insurance Number in that respect.

Your UTR number enables HMRC to monitor your tax obligations.

It gives them an easy way to match records to payments. Your UTR number is used to complete your self-assessment tax returns, any work you do with an accountant and any pre-pay tax in instalments.

The only people that need a UTR number are those that are either self-employed or have set up a limited company. You then use that UTR number to file self-assessment tax returns.

If you are looking at becoming self-employed or starting up your own limited business, you will need your UTR number.

There are five places that you will be able to find it. It will be on your previous tax returns and payment reminders. You can find it on your notices to file tax returns and your statements of account. If you have not got any of the above, then you will find your UTR number on your ‘Welcome to self-assessment’ letter. This is known as a SA250.

When you set up your limited company or get set up for your self-assessment tax returns you will automatically undergo the UTR registration process. During this process you will automatically receive your very own UTR number.

If you need help registering for your UTR number, then please contact our team. We will happily talk through the process with you.

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