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How to Register for Self-Employment with HMRC: A Step-by-Step Guide

Becoming self-employed is an exciting step in your career. Whether you’re starting as a freelancer, contractor, or running your own business, one of the first tasks is to register with HMRC (Her Majesty’s Revenue and Customs). This guide will walk you through the process and ensure you’re set up correctly.


1. Understand When You Need to Register

You need to register as self-employed with HMRC if you:

  • Earn more than £1,000 from self-employment in a tax year.
  • Work as a sole trader, partner in a business partnership, or have other income that needs reporting.

Ideally, you should register as soon as you start trading, but the deadline is by 5th October after the end of the tax year in which you started trading.


2. Gather Your Information

Before starting the registration process, make sure you have the following details:

  • National Insurance Number: A unique identifier for your personal tax records.
  • Contact Details: Address, email, and phone number.
  • Business Details: A description of your trade or profession, business name (if applicable), and the date you started working for yourself.


3. Register Online with HMRC

The registration process is done online via the HMRC website. Follow these steps:

  1. Create a Government Gateway Account
    If you don’t already have one, visit the HMRC Government Gateway portal to create your account. This account will give you access to HMRC’s online services.
  2. Sign Up for Self-Assessment and Class 2 National Insurance Contributions
    Log in to your Government Gateway account and follow the steps to register for self-assessment and Class 2 National Insurance contributions.
  3. Complete the Registration Form
    Fill out the form with the necessary details, including your business start date and the type of work you’ll be doing.


4. Wait for Your UTR Number

Once registered, HMRC will send you a Unique Taxpayer Reference (UTR) number by post. This typically takes up to 10 working days. The UTR is a 10-digit code you’ll use to identify yourself in all correspondence with HMRC.


5. Understand Your Responsibilities

After registering, you’ll need to:

  • Submit a Self-Assessment Tax Return every year, detailing your income and expenses.
  • Pay Income Tax and National Insurance Contributions based on your earnings.


Ensure you keep detailed records of your income and expenses to simplify tax filing. Using accounting software or hiring an accountant can make this process much easier.

Registering for self-employment with HMRC is a straightforward process but requires attention to detail. Completing this step ensures you’re operating legally and sets the foundation for managing your taxes effectively. Don’t delay—register as soon as possible to avoid penalties and start your self-employment journey with confidence!

Need help? We can help with this entire process. Get in touch with us today. Call 0116 298 2425 or e-mail enquiries@mylocalaccounting.co.uk

Useful links 

HMRC Guidelines on Registering as Self-Employed – https://www.gov.uk/set-up-sole-trader
Government Gateway Portal – https://www.gov.uk/log-in-register-hmrc-online-services
Register for Self-Assessment – https://www.gov.uk/register-for-self-assessment
National Insurance Information – https://www.gov.uk/national-insurance
HMRC Helpline and Contact Information – https://www.gov.uk/contact-hmrc