Hello, thank you for reaching out to Microsoft Q&A.
Yes, you cannot use the same phone number that is already associated with another Microsoft account. (Sign-in Alias)
Use a different phone number and try requesting the verification code again. See if you can add your phone number to your Microsoft account.
Reference:
Add or remove an email alias in Outlook.com
Note -
You can use the same phone number as security information for multiple Microsoft accounts. However, an alias and security info are two different things.
Alias means - this is the email address or phone number you use to sign in to your Microsoft account. The phone number can only be used as a sign-in alias for one account at a time.
Security info means - this includes your phone number or email that Microsoft uses to verify your identity when signing in or recovering your account. The same phone number can be added as security info to multiple accounts.
So, let us know if you're trying to add it as an alias or security info.