What Is the UTR Number?

The Unique Taxpayer Reference (UTR) number is a specific identifier for tax purposes in the UK. It is important for individuals who engage in self-assessment to fulfill their tax obligations, especially those with income not taxed at the source.

Understanding the UTR Number

The Unique Taxpayer Reference (UTR) is a distinctive 10-digit code issued by HM Revenue & Customs (HMRC) to identify individuals and entities for tax purposes. This number is fundamental for the Self Assessment tax return system, which is how individuals report untaxed income to HMRC. The UTR acts as a personal tax identifier, similar to a Social Security number.

A UTR is necessary for various individuals and entities, including self-employed individuals, freelancers, and business partners. Individuals receiving rental income from property or those with foreign income not taxed at source also require a UTR. If an individual’s total taxable income exceeds £100,000, they also need a UTR for Self Assessment.

The UTR is a 10-digit code, for example “12345 67890.” This number is found on official HMRC correspondence, including Self Assessment notices, statements of account, or reminders to file a tax return. For those who file online, the UTR is visible on the second page of their online tax return, often labeled as “UTR,” “tax reference,” or “Official Use.” Once issued, a UTR remains with the taxpayer for their lifetime, much like a National Insurance number.

Obtaining Your UTR Number

A UTR number is automatically issued once an individual registers for Self Assessment with HMRC. This registration process is the primary method for obtaining a UTR.

Before initiating the registration, certain personal and income details must be gathered. This includes your full name, current address, date of birth, and National Insurance number. You will also need your phone number and email address. Information concerning the source of income requiring Self Assessment, such as the start date of self-employment or the type of business, is also necessary.

To register for Self Assessment and receive a UTR, the most common method is online via the GOV.UK website. You will typically need to create a Government Gateway account if you do not already have one. For self-employed individuals, this involves selecting the “Sole Trader” option and providing details like the start date of self-employment and a description of your work. Individuals who are not self-employed but still need to register, for instance due to rental income or capital gains tax, can use Form SA1, which can be completed online or printed and sent by post.

After submitting your registration, HMRC will process the request. The UTR number is typically delivered by post in a welcome pack, usually within 10 working days of online registration.

Using Your UTR Number

Once obtained, the UTR number serves as your primary identifier for various tax-related activities. Its most frequent application is in completing and filing your Self Assessment tax return, whether submitted online or by paper. The UTR ensures that your tax declaration is correctly linked to your personal tax record with HMRC.

Beyond filing tax returns, the UTR is necessary for most direct interactions with HMRC regarding your tax affairs. This includes making tax payments, inquiring about your tax status, or responding to official correspondence from HMRC. If you need to access your personal tax account through the Government Gateway, your UTR, along with your Government Gateway user ID and password, will be required.

For self-employed individuals, the UTR can also be relevant when working with clients or businesses, particularly those operating under schemes like the Construction Industry Scheme (CIS). Contractors in the CIS are required to deduct tax from subcontractor payments, and the subcontractor’s UTR is used to ensure the correct deduction rate is applied (e.g., 20% for registered subcontractors versus 30% for unregistered). Safeguard your UTR number, as it is sensitive personal tax information.