Sole Trader Invoice (UK): What HMRC Requires, With a Template

A UK sole trader can invoice with nothing more than their own name, an address, and a sequential invoice number. There's no company number to show, no Companies House registration, and no VAT unless you're registered for it. The requirements are short, but they are requirements, and a few of them (the supply date, the business-name disclosure) get missed often.

This guide covers the UK rules. If you're self-employed in the US, see the self-employed invoice guide instead. The tax IDs and rules are different.

What a sole trader invoice must include

GOV.UK lists the information every invoice needs. For a sole trader who isn't VAT-registered, that's:

1. A unique invoice number, in a sequence with no gaps or reuse. Format tips are in invoice number format.
2. Your name and any business name you trade under.
3. An address where you can receive legal documents. It doesn't have to be your home. A business address or registered-office service works if you can be served there.
4. The customer's name (or company name) and address.
5. A clear description of what you're charging for.
6. The date the goods or services were supplied (the supply date).
7. The invoice date.
8. The amount for each item, and the total amount owed.

If you're VAT-registered, several more fields apply. See the section on VAT below.

Items that are optional but worth adding: payment terms and a due date, your bank details (account name, sort code, account number), a payment reference to use, and your email and phone number.

Don't put your UTR on the invoice. Your Unique Taxpayer Reference is for your dealings with HMRC. Clients don't need it, and it's one less identifier to hand out. National Insurance numbers don't belong on invoices either.

Trading under a business name

You don't need a business name. Invoicing as "Sarah Khan" is completely fine. If you do trade under one, say "Northlight Photography," the rules on business names apply:

• Show your own name as well as the business name. "Sarah Khan trading as Northlight Photography" (or "t/a") is the standard form.
• Show an address where documents can be served. Same address rule as above.
• The name can't include "Limited," "Ltd," "LLP," or "plc", and can't suggest a connection to government or use sensitive words without permission.

The "trading as" line matters beyond compliance. When a client's accounts team pays you, your bank account is in your personal name. An invoice that shows both names explains the match and prevents the payment from being held for checks.

A sole trader invoice example

                                                  INVOICE

Sarah Khan t/a Northlight Photography     Invoice no:  NLP-2026-017
14 Mill Lane, Leeds LS6 2AB               Invoice date: 23 September 2026
[email protected]               Supply date:  18 September 2026
07700 900123                              Due date:     7 October 2026

BILL TO
Harbour & Co Ltd
5 Quay Street, Hull HU1 1AA

DESCRIPTION                                   QTY     RATE     AMOUNT
-----------------------------------------------------------------------
Product photography — half-day shoot            1     £450    £450.00
Edited product images (web + print)            24      £15    £360.00
Travel, Leeds–Hull return (mileage)             1      £54     £54.00
-----------------------------------------------------------------------
                                                    TOTAL     £864.00

Not VAT registered.
Payment terms: 14 days. Please pay by bank transfer to:
Sarah Khan · Sort code 00-00-00 · Account 12345678 · Ref: NLP-2026-017

A few details in that example:

• "Not VAT registered" isn't a legal requirement, but it answers the question a client's accounts team would otherwise email you about.
• The supply date and invoice date differ. The shoot happened on the 18th, the invoice went out on the 23rd. Both dates are required.
• The bank details show the account holder's personal name, which matches the "t/a" line at the top.

To produce this layout without building it by hand, a free invoice generator fills in the numbering, totals, and due date for you.

When VAT comes in

You must register for VAT when your VAT-taxable turnover goes over £90,000 in any rolling 12-month period, or you expect it to in the next 30 days. You can also register voluntarily below that, which some sole traders do when their clients are VAT-registered businesses that can reclaim the VAT.

Before you're registered, you must not charge VAT or show a VAT amount on your invoices. Once you are, your invoices need your VAT registration number, the VAT rate and amount for each item, the total excluding VAT, and the total VAT. The full field list, simplified invoices, and reverse charge are in the VAT invoice template guide.

Late payment: your statutory rights

If you invoice other businesses, the Late Payment of Commercial Debts (Interest) Act 1998 applies to you as a sole trader too. When a business client pays late and your contract doesn't set its own terms, you can claim:

• Statutory interest of 8% a year above the Bank of England base rate, from the day after the due date.
• Fixed compensation per invoice: £40 for debts under £1,000, £70 for £1,000–£9,999.99, and £100 for £10,000 or more.

If no payment date was agreed, the default is 30 days after the client receives the invoice or the goods or services, whichever is later. The Act doesn't cover invoices to consumers.

Putting a line about it in your terms ("Late payments will incur interest under the Late Payment of Commercial Debts (Interest) Act 1998") doesn't change your rights, but it does mean the client has been told. How to apply it in practice is in how to charge late fees.

Records and Making Tax Digital

Keep copies of every invoice you send and every receipt for business expenses. HMRC requires sole traders to keep records for at least 5 years after the 31 January submission deadline for the relevant tax year. Retention across countries is covered in how long to keep invoices.

Making Tax Digital for Income Tax is being phased in for sole traders and landlords: from April 2026 for those with qualifying income over £50,000, from April 2027 over £30,000, and from April 2028 over £20,000. It changes how you keep records and report to HMRC (digital records and quarterly updates through compatible software). It doesn't change what an invoice has to contain, but numbered, consistently formatted invoices make the digital records much easier to keep.

FAQ

What does a sole trader need to put on an invoice?

A unique invoice number, your name and any business name, an address where you can receive legal documents, the customer's name and address, a description of the work, the supply date, the invoice date, the amount for each item, and the total owed. VAT-registered sole traders must add their VAT number and VAT breakdown.

Do sole traders need a company number on invoices?

No. Sole traders aren't registered at Companies House, so there's no company number to show. Only limited companies and LLPs have one.

Can a sole trader invoice without a business name?

Yes. You can invoice in your own name. If you use a business name, show your own name alongside it, for example "Sarah Khan t/a Northlight Photography."

Should I put my UTR on my invoices?

No. Your UTR is for dealing with HMRC and isn't required on invoices. Clients don't need it to pay you.

Do I need to charge VAT as a sole trader?

Only if you're VAT-registered. Registration is compulsory once your taxable turnover passes £90,000 in a rolling 12 months. Below that, you can't charge VAT unless you've registered voluntarily.

Can I charge interest on late payments as a sole trader?

Yes, if your client is a business. The Late Payment of Commercial Debts (Interest) Act 1998 lets you claim interest at 8% above the Bank of England base rate plus fixed compensation of £40–£100 per invoice, unless your contract sets different terms.