Going self-employed? Before you do anything else, you need to tell HMRC. It's free and fairly quick — here's exactly how to register as a sole trader in the UK.
When do I need to register?
You must register for self assessment as soon as you start trading, and by 5 October following the end of the tax year (which runs 6 April to 5 April) in which you became self-employed. Leave it too late and you risk a penalty, so it's best to do it early.
How to register — step by step
- Go to GOV.UK and set up a Government Gateway account.
- Register for self assessment as a sole trader.
- HMRC sends you a UTR (Unique Taxpayer Reference) by post — you'll need this to file (see what a UTR is).
- Activate your account with the code HMRC sends you.
- Keep records of all your income and expenses from day one.
What happens next?
Once registered, you'll file a self assessment tax return each year and pay any Income Tax and National Insurance due by 31 January. Keep an eye on the key tax deadlines so nothing catches you out.
Do you need to register for VAT too?
Only once your turnover reaches the VAT threshold — most new sole traders don't at first. If you're not sure, or you'd rather someone handled the whole setup for you, we're happy to help.
Need a hand with this?
We're professionally accredited accountants in Wantage, Oxfordshire, helping small businesses across the county. Book a free, no-obligation chat.
Book a free consultation