Week Numbers for Tax Year

[Rick Rothstein \(MVP - VB\)]

See inline comments...

Some more information:

This week number routine is required for an Excel invoice sheet that I
use. I always use ISO week numbers on my invoices (this week is ISO week
23).

Once we figure out what to give you as a Tax Week Number (see other comments
as there are still questions remaining), are you also going to need a
translation of that Tax Week Number to the ISO Week Number?

My main client says they use Tax Year week numbers, but it seems that
their system assumes that the week with 1 April in it (ISO week number 13)
is Tax Year week 1. This week (ISO week number 23) would then become my
client's Tax Year week number 11.

As Roger points out in his response to this same message I am responding to,
ISO Week Number 1 does not have to include January 1st in it depending on
whether the week with January 1st contains a Thursday or not, so I am not so
sure that April 1st will always land in ISO Week Number 13. And the
"Thursday Rule" for ISO week numbering would make a constant relation to
your client's Tax Week Number calculation out of the question as, if your
statement is correct, the day April 1st falls on is unimportant in
determining your client's Tax Week Number... Tax Week Number 1 is whatever
week contains April 1st. Of course, using this definition completely ignores
the IR April 6th rule for the start of the Tax Year's weekly numbering.

If we accept that the week with 6 April 2007 in it (2 - 8 April, ISO week
number 14) is the first week of the new Tax Year, then this week (ISO week
number 23) must be Tax Year week number 10.

However, (according to Sage) it seems that the week with 6 April 2007 in
it is considered to be the last week of the old 2006-07 Tax Year, and ISO
week number 15 (9 - 15 April) is the first week of the new 2007-08 tax
year. This week (ISO week number 23) then becomes Tax Year week number 9.

I think, when looking for the last week of the Tax Year, you need to look at
April 5th, not April 6th as they may not both occur within the same weekly
time period.

I suppose it doesn't help that ISO week numbers run from Monday to Sunday,
whilst Tax Year week numbers appear to run from Friday to Thursday (if Tax
week 10 commences on Friday, 08 Jun 2007, as stated above).

The "real" Tax Week Number day-to-day-runs change yearly... the "real" Tax
Week Number 1 always starts on April 6th (no matter what day of the week
that is) and ends on April 12th, the "real" Tax Week Number 2 always starts
on April 13th and ends on April 19th, etc.

Alright, so I am confused now.<g> Can you spell out what criteria you want
to govern when Tax Week 1 occurs (in general, not for just this year)? It
looks like you (well, I should say you client) wants it to be the full
calendar week that contains April 1st (not April 6th)... is that correct?
What does your client consider a calendar week... Sunday to Saturday or
Monday to Sunday? Does the ISO Thursday Rule factor into the week numbering
when using the April 1st Rule that your client appears to use?

Rick

 

[Roger Govier]

I meant to add, you should ask your client which tax week he is actually
using.
If he is counting a week commencing 01 Apr 2007 as week 1, then he is
wrong. No question about it and an IR inspection could prove costly.

You also said that the week with 06 Apr 2007 in it is considered to be
the last week of the old tax year.
Depending upon which day of the week your client makes his payments. It
could have been week 53 of the previous year for him for this year, but
it will not be next year.

The start point is fixed as I have said in earlier emails and it is 06
April each year. It never varies. It doesn't matter what day that falls
upon.

 

[mlv]

Alright, so I am confused now.<g> Can you spell out what criteria you want
to govern when Tax Week 1 occurs (in general, not for just this year)? It
looks like you (well, I should say you client) wants it to be the full
calendar week that contains April 1st (not April 6th)... is that correct?
What does your client consider a calendar week... Sunday to Saturday or
Monday to Sunday? Does the ISO Thursday Rule factor into the week
numbering when using the April 1st Rule that your client appears to use?

You're confused? Me too!

Today I spoke with my client who insisted they use Tax Year week numbers to
the IR rules.

They then came back to me to say they got it wrong this year and had week 1
(2007-08), where they should have had week 53 (2006-07). They assure me
they will get it right next year!

I shall simply use the IR Tax Year week formula with a +1 correction for
this year and next year the unaltered formula should be fine.

Thanks to you and everyone else for the useful input.

 

[Ben Bjork]

Hi,

I wonder if you could help me.

I have a similar problem but need the formula to calculate from Friday to Friday, instead of Saturday to Saturday. Is this possible?

Many thanks in advance
Ben