Every year, hundreds of thousands if not millions of people and companies file their tax returns in the UK as part of their legal obligations. A self-assessment tax return is a necessary part of life, whether you represent a trust, a limited company, you’re part of a partnership, a sole trader or an individual. In each of these cases, a UTR number is required. But what is a UTR and how can you get one if you haven’t done so already? We answer these questions and more here. Keep reading to find out.
What does UTR stand for?
Simply put, UTR stands for “Unique Tax Reference”. This is a 10-digit number, sometimes accompanied by the letter “K” and it is issued to all people by the HMRC. Once allocated to you, this number stays with you for life so there is absolutely no need for you to continuously and repeatedly reapply for it. It is used by HMRC to track the tax status of every person and company in the UK and this has important budgetary implications. A UTR number is necessary if you are self-employed or have set up a limited company, if you owe tax on savings interest, dividends or capital gains or if you earn more than £100,000.
How to get a UTR number
Now that you know what a UTR is, the next important question you should be asking yourself if you don’t have one already is how to get a UTR number. The important thing to note at this point is that you are not automatically allocated a UTR number. Instead, you need to apply for one. Luckily, there are various ways for you to do so. Here are some examples that you can follow:
- Online self-assessment registration: you can register for self-assessment on the HMRC website. You will then be automatically assigned a UTR number. This will arrive in a letter at your postal address.
- Phone application: it’s also possible to get your UTR via a phone call. The HMRC number is 0300 200 3310. Keep in mind that you may be required to provide additional information and details and that you may also be redirected to apply online.
- Application by post: finally, you can get your UTR number by addressing a letter to HMRC. However, it should be noted that this can be a time consuming process as once you’ve initiated the correspondence, you may be required to provide additional information in subsequent letters and some time may pass before you’re finally allocated your UTR number.
Your trusted tax accountants in London
Whether you already have a UTR number or need to reactivate a dormant one, you don’t need to worry. The specialists at Tax Navigator can help you literally navigate the waters of self-assessments and tax returns and ensure you stay on the right side of your legal tax-related obligations. For any information or advice, don’t hesitate to reach out to us. We’re happy to help with any queries you may have!
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