Where a taxpayer has been made bankrupt, their Unique Taxpayer Reference (UTR) expires at the end of the tax year in which they were made bankrupt. They cannot use that UTR to file Self-Assessment tax returns for later tax years. Instead, they must re-register for Self-Assessment and obtain a new UTR if they continue to trade after the tax year in which they were made bankrupt or if they need to complete a Self-Assessment tax return for any reason after that tax year. The old UTR must be used for all Self-Assessment tax returns filed for the tax year in which the person became bankrupt.

Having different UTRs for pre- and post-bankruptcy enables HMRC to keep the person’s tax affairs for each period separate and ensures that future tax returns are processed correctly.

If the old UTR is used post-bankruptcy, this will lead to delays in processing as HMRC will need to correct the UTR.

Partner note: www.gov.uk/government/publications/agent-update-issue-143/issue-143-of-agent-update.