How Do I Register a New Company With HMRC?

After incorporating a UK limited company, you normally register it with HM Revenue and Customs for Corporation Tax by adding Corporation Tax services to its HMRC business tax account.

You will usually need:

• Company registration number
• Ten-digit Unique Taxpayer Reference
• Date the company became active
• Accounting reference date
• Description of its business activities

An active company must generally notify HMRC within three months of the beginning of its first Corporation Tax accounting period.

VAT, PAYE, the Construction Industry Scheme and customs registrations are separate and only apply when the relevant conditions are met.

Is Registering With HMRC the Same as Incorporating?

No.

Companies House and HMRC have different responsibilities.

Companies House

Companies House:

• Incorporates the company
• Issues its company number
• Maintains the public company register
• Receives annual accounts
• Receives confirmation statements
• Records directors, shareholders and PSCs

HMRC

HMRC:

• Administers Corporation Tax
• Administers VAT
• Operates PAYE and National Insurance systems
• Deals with customs and EORI registrations
• Receives Company Tax Returns
• Collects company taxes

Registering a company with Companies House does not complete every HMRC registration the business may need.

Does HMRC Learn About the Company Automatically?

Companies House normally provides incorporation information to HMRC.

HMRC then creates a Corporation Tax record and sends the company’s UTR to its registered office.

However, the directors still need to tell HMRC when the company becomes active and ensure that Corporation Tax services are correctly added to its business tax account.

The company should not assume that its tax setup is complete merely because the certificate of incorporation has been issued.

What Is a Company UTR?

The Unique Taxpayer Reference is a ten-digit number HMRC assigns to the company.

It is used for matters such as:

• Corporation Tax registration
• Company Tax Returns
• Tax payments
• Correspondence with HMRC
• Authorising a tax agent
• Accessing company tax services

The company UTR is different from:

• Company registration number
• VAT number
• PAYE reference
• Director’s personal UTR
• Companies House authentication code

The UTR should be stored securely.

Where Is the UTR Sent?

HMRC normally sends the UTR by post to the company’s registered office.

Directors using a registered office service should ensure that:

• HMRC post is accepted.
• Letters are forwarded promptly.
• The service has the correct contact details.
• Important tax correspondence is not discarded.
• The UTR is kept confidential.

If the UTR does not arrive, the company can request another copy through HMRC’s service.

When Must the Company Register for Corporation Tax?

An active company must normally notify HMRC within three months of starting its first Corporation Tax accounting period.

This is generally connected to when the company begins business activity—not simply its incorporation date.

HMRC’s current guidance states that a company within the charge to Corporation Tax must notify it within three months of becoming active. See the official Corporation Tax trading and non-trading guidance.

What Counts as Becoming Active?

Activities that can indicate that the company has become active include:

• Selling goods
• Providing services
• Buying stock
• Advertising
• Renting property
• Employing someone
• Earning interest
• Managing investments
• Entering commercial contracts

A company may become active before it issues its first customer invoice.

The directors should identify a reasonable start date and retain evidence supporting it.

What If the Company Has Not Started Trading?

A new company that has not begun business activity is normally dormant for Corporation Tax.

It will not usually need to register as actively trading until it starts doing business or receiving taxable income.

However, it must still:

• File annual accounts with Companies House
• Submit a confirmation statement
• Maintain its registered office
• Keep its company records
• Respond to HMRC correspondence

If HMRC issues a notice requiring a Company Tax Return, the company should not ignore it. It should either file the required return or ask HMRC whether the notice can be withdrawn.

How Do I Add Corporation Tax Services?

The company can normally complete the process online.

The basic steps are:

1. Sign in to the company’s HMRC business tax account.
2. Create Government Gateway credentials if necessary.
3. Select the option to add a tax or service.
4. Choose Corporation Tax.
5. Enter the company’s registration number.
6. Enter its UTR.
7. Provide the date business activity began.
8. Confirm the accounting reference date.
9. Describe the company’s business.
10. Submit the information and retain confirmation.

HMRC’s current instructions are available in its guide to adding Corporation Tax services.

What Information Is Required?

The company should prepare:

• Registered company name
• Company registration number
• UTR
• Registered office
• Main business address
• Date business activities began
• Accounting reference date
• Nature of the business
• Contact details
• Director or authorised representative information

The business description should be accurate and consistent with:

• SIC codes
• Website
• Customer contracts
• Supplier arrangements
• Accounting records
• Business account application

Which Trading Start Date Should Be Used?

The company should use the date it genuinely became active.

It should not automatically use:

• Incorporation date
• Business account opening date
• Date the UTR arrived
• First customer payment
• First profitable sale

Any of these dates could be relevant, but the correct date depends on what the company actually did.

For example, buying stock or starting an advertising campaign may indicate that business activity began before the first sale.

Does Opening a Business Account Make the Company Active?

Opening an account alone does not necessarily mean the company has started trading.

However, transactions through the account may indicate activity. Examples include:

• Paying for advertising
• Buying stock
• Receiving customer money
• Paying employees
• Receiving interest
• Paying for operational services

The company should record the purpose and date of every transaction from incorporation onward.

What Happens After Corporation Tax Registration?

HMRC will establish the company’s Corporation Tax accounting period.

The company will then need to:

• Keep adequate accounting records
• Prepare annual accounts
• Calculate taxable profits
• Pay any Corporation Tax due
• File a Company Tax Return using compatible software
• Retain supporting records

For most small companies:

• Corporation Tax is normally payable nine months and one day after the relevant accounting period ends.
• The Company Tax Return is normally due 12 months after the accounting period ends.

The payment and return deadlines are separate.

Why Might the First Accounts Require Two Tax Returns?

A company’s first statutory accounts often cover more than 12 months.

A Corporation Tax accounting period cannot normally exceed 12 months. If the company was active throughout a financial period longer than 12 months, it may need two Company Tax Returns:

• One for the first 12 months
• Another for the remaining period

Each period can also have its own tax payment deadline.

Does the Company Need to Register for VAT?

Not automatically.

VAT registration is normally compulsory when:

• VAT-taxable turnover for the previous 12 months exceeds £90,000; or
• The company expects its taxable turnover to exceed £90,000 within the next 30 days alone.

The company may choose voluntary registration below the threshold.

VAT registration is separate from Corporation Tax registration. The application generally requires company, turnover, tax and business account information.

Official application details are available in HMRC’s VAT registration guidance.

Does the Company Need to Register for PAYE?

The company may need to register as an employer if it will pay:

• Employees
• Directors through payroll
• Certain workers
• Benefits or expenses that must be reported

Employer registration must normally be completed before the first payday. HMRC states that a company cannot generally register more than two months before it begins paying people.

After registration, the company receives employer PAYE references and must operate payroll correctly.

Does a Director’s Salary Require PAYE Registration?

Usually, if the company pays a director a salary, the payment should be processed through payroll.

Whether PAYE deductions or National Insurance are due depends on the amount and circumstances, but the company may still need to register and report the payment.

A director should not treat company withdrawals as salary unless they have been recorded and processed accordingly.

Must Every Director Register for Self Assessment?

Not necessarily.

Being a company director does not automatically mean that the individual must submit a Self Assessment return in every situation.

A director may need to register personally if they have untaxed income or meet another Self Assessment requirement, such as receiving:

• Dividends requiring further tax
• Significant investment income
• Rental income
• Foreign income
• Other income not taxed at source

The director’s personal tax registration is separate from the company’s HMRC registrations.

Does the Company Need Construction Industry Scheme Registration?

A company operating in construction may need to register under the Construction Industry Scheme.

It may need to register as:

• A contractor
• A subcontractor
• Both

A contractor may need to verify subcontractors, make deductions and submit monthly returns.

CIS registration is separate from Corporation Tax and PAYE, although the systems can interact.

Does an Importing Company Need an EORI Number?

A company moving goods internationally may need an Economic Operators Registration and Identification number.

Whether one is required depends on:

• Where goods move from and to
• Whether the company imports or exports
• Which customs jurisdiction applies
• Who acts as importer or exporter
• Whether a customs agent is used

An EORI number does not replace VAT registration, and VAT registration does not automatically complete every customs requirement.

Are Other HMRC Registrations Possible?

Depending on its activities, a company may need to consider:

• Plastic Packaging Tax
• Alcohol duties
• Excise duties
• Gaming duties
• Insurance Premium Tax
• Air Passenger Duty
• Land and property taxes
• Annual Tax on Enveloped Dwellings
• Trust registration
• Other industry-specific tax obligations

Most ordinary small companies will not need all these registrations.

Can an Accountant Register the Company?

Yes. A company can authorise an accountant or tax agent to assist with HMRC registrations and filings.

The accountant may help:

• Determine the trading start date
• Add Corporation Tax services
• Register for VAT
• Register for PAYE
• Prepare accounts
• Calculate tax
• Submit Company Tax Returns
• Communicate with HMRC

The directors remain legally responsible for ensuring that information is accurate and obligations are met.

Can a Non-UK-Resident Director Complete the Registration?

Yes.

A UK company can generally register for HMRC services even if its directors and shareholders live overseas.

The company will still need:

• A valid UK registered office
• Its company number
• UTR
• Accurate business activity information
• HMRC online access
• Complete accounting records

An overseas director should ensure that registered-office correspondence is monitored and consider whether the company’s management creates tax obligations in another country.

What If the Company Registers Late?

A company that misses the three-month notification period should register as soon as possible.

Possible consequences include:

• Failure-to-notify penalties
• Interest on unpaid tax
• Late Company Tax Return penalties
• HMRC estimating the company’s liability
• Compliance enquiries

The outcome can depend on how late the notification was, whether tax was unpaid and whether the failure was deliberate.

Late registration does not move the original accounting period or automatically extend payment and filing deadlines.

Common HMRC Registration Mistakes

New companies should avoid:

• Confusing Companies House registration with HMRC registration
• Using the director’s personal UTR
• Reporting the wrong trading start date
• Registering a dormant company as active too early
• Waiting for the first sale despite earlier business activity
• Ignoring HMRC letters
• Missing VAT or PAYE registration
• Assuming an accountant completed the process without confirmation
• Using inconsistent business descriptions
• Failing to update HMRC when details change
• Mixing company and personal Government Gateway information

HMRC Registration Checklist

After incorporation, the directors should:

• Check the Companies House record.
• Monitor the registered office for the UTR.
• Create or access the company’s business tax account.
• Determine the date business activity began.
• Add Corporation Tax services.
• Complete registration within three months of becoming active.
• Check whether VAT registration is required.
• Register for PAYE before the first payday, where applicable.
• Review CIS and customs requirements.
• Record the Corporation Tax accounting period.
• Set payment and return reminders.
• Keep proof of every registration and submission.

Frequently Asked Questions

Is the company automatically registered for Corporation Tax?

HMRC normally receives incorporation information, but the company must still ensure that Corporation Tax services are added and notify HMRC when it becomes active.

Can the company register before receiving its UTR?

The UTR is normally required to add Corporation Tax services. If it has not arrived, the company should request another copy.

Must a dormant company register?

A company that has not started business activity does not usually register as active for Corporation Tax. It must still meet Companies House obligations.

Does Corporation Tax registration include VAT?

No. VAT registration is a separate process.

Does it include PAYE?

No. Employer registration is also separate.

Can the company trade before the registration is completed?

A company can begin trading, but it must notify HMRC within the required period and maintain records from the date activity begins.

Is there a registration fee?

HMRC does not normally charge the company merely to add Corporation Tax services through its official online account.

Final Answer

To register a new UK company with HMRC, obtain its UTR, sign in to its business tax account and add Corporation Tax services. You will need the company number, trading start date, accounting reference date and business activity information.

An active company should normally complete this within three months of beginning its first Corporation Tax accounting period.

VAT, PAYE, CIS and customs registrations are separate. The company should review each one according to its turnover, employees and business activities rather than assuming Corporation Tax registration covers every HMRC obligation.

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