If you’re working under an umbrella company, you might think taxes are someone else’s job. But things change fast in contracting. One month, you’re PAYE; the next, you’re freelancing. That’s where a UTR number can trip you up—or save your neck.
What’s a UTR Number?
A UTR number is a 10-digit code HMRC gives you when registering for Self-Assessment. It identifies you for all tax matters.
Think of it like your tax fingerprint. It’s unique. You’ll need it to report income if you ever earn money outside PAYE—say, freelance gigs or side hustles.
The letters “UTR” stand for Unique Taxpayer Reference. That sounds fancy, but it’s just a number HMRC uses to track your tax returns and payments. It’s not on your payslip or NI card—it’s sent straight from HMRC when you sign up for Self Assessment.
Do Umbrella Company Contractors Need a UTR?
You probably don’t need a UTR if you only earn through an umbrella company. But if you ever go self-employed, you’ll need one.
Umbrella companies pay your tax and NI like a normal employer. But that doesn’t mean you’re locked in. Many contractors switch between umbrellas and limited company setups. Others take side jobs on the weekends.
If that’s you—or you’re thinking of going solo—it’s better to get a UTR now. It doesn’t expire. And having one saves you time when things change.
How Do You Get a UTR Number?
You can get a UTR by registering for Self-Assessment with HMRC. It’s free, but it takes time.
Here’s how it works:
- Head to the HMRC website and sign up for a self-assessment account.
- Enter your personal info—name, address, NI number, date of birth.
- Pick how you want to file—online or paper.
- HMRC will mail you a 10-digit UTR number within 10 days.
If you’re abroad, it could take 21 days. So don’t leave it to the last minute. Once you’ve got it, log into your HMRC online account to check it anytime.
Where Can You Find Your UTR Number?
Your UTR appears on official letters from HMRC and your online tax account.
If you’ve ever filed a tax return, it’s probably sitting in your paperwork. Look in these places:
- HMRC’s “Welcome to Self Assessment” letter (SA250)
- Your previous tax returns
- HMRC’s online portal (if you signed up for it)
- The HMRC app
Have you lost it? You can call HMRC, but they’ll ask security questions and post it again—no emails or calls for this one.
What’s the UTR Number Used For?
You use your UTR number to submit self-assessment tax returns and make tax payments.
When you’re self-employed, you handle your taxes. That means:
- Telling HMRC how much you earned
- Paying income tax on it
- Paying Class 2 and Class 4 National Insurance
HMRC uses your UTR to match your name to the right payments and paperwork. If you send them money without the UTR, they might not know it came from you.
You also need the UTR to:
- Register for CIS (if you’re in construction)
- Work with accountants
- Get mortgages or loans (sometimes they ask for tax documents)
- Sort out tax rebates
What Happens If You Don’t Have a UTR?
If you should have a UTR but don’t, HMRC can fine you for not filing your taxes.
It’s easy to ignore paperwork when you’re busy contracting. But HMRC isn’t so forgiving. Miss a Self Assessment deadline, and you get:
- £100 late filing fine (even if you owe no tax)
- Extra charges after 3, 6, and 12 months
- Interest on unpaid taxes
You can avoid all this with one small step—register early, even if you’re not 100% sure you’ll need it.
Can You Have More Than One UTR?
No, each person gets one UTR for life. The UTR stays the same even if you stop and start the assessment.
Changing jobs or switching from an umbrella to a limited company doesn’t change your UTR. HMRC uses it to keep your records in one place.
But if you somehow get issued two by mistake—yes, it happens—contact HMRC and sort it out fast. Two UTRs can cause delays, missed payments, and confusion.
What If You Lose Your UTR?
You can’t retrieve it online unless you already have an HMRC account. Otherwise, HMRC will post it to you again.
Don’t ask on social media or try to guess it. HMRC will not give it out over the phone unless you pass strict checks, and they will definitely not email it.
So, the best move is to log into your HMRC account or call them and ask for a new letter. Then store it somewhere safe—just not on a sticky note on your screen.
Should You Get a UTR If You Don’t Need One Right Now?
Yes, if you think you’ll ever go self-employed or do untaxed work, it’s better to apply now.
UTRs take time to arrive. Waiting until the deadline—or after you’ve already done the work—can mess things up. HMRC doesn’t stay just because you’re new to this.
Even if you’re fully umbrella now, having a UTR ready keeps you flexible. Got a freelance gig? Did you get laid off and want to invoice directly? You’re covered.
Final Thoughts
Taxes can feel like a maze. But knowing your way around a UTR number keeps you a step ahead. Whether you’re sticking with an umbrella or planning your own thing, this 10-digit number could be the key that opens the right doors.
You don’t need to know everything about the tax system. But you need to know what yours is, and the UTR number is one of those things. Store it. Use it when needed. And you’ll be sorted when it counts.
