12 fun facts about the history of Labor Day and taxes

12 fun facts about the history of Labor Day and taxes
You'd probably spend the day gathering around a barbecue or trying to soak in some sun. The Labor Day weekend is the last day of the summer in the fall, including, in regions like my country, the start of the school year.

(You can read more about the link to the school year and Labor Day weekend here.)

But Labor Day is actually no more about sunshine and beaches than ... offices and factories. Here's a little bit of Labor Day history mixed with tax trivia:

The holiday falls on the first Monday in September of each year. The earliest national recognition of Labor Day occurred on June 28, 1894, when President Grover Cleveland signed a law making it a national holiday. The date was formally set as part of an act signed by President Johnson on June 28, 1968, "to provide for uniform annual observances for certain statutory public holidays on Mondays, and for other purposes".

The US income tax - as we know it today - did not exist in 1894. Instead, Congress pushed through the Revenue Act of 1894, also called the Wilson Gorman Tariff of 1894, considered the nation's first tax in peacetime. It was a flat 2% tax on corporate and individual income over $ 4,000 (about $ 120,512.09 today). The following year, the tax was found to be unconstitutional in Pollock v. Farmers 'Loan & Trust Co., 157 US 429 (1895), and was confirmed in Bullock v. Farmers' Loan & Trust Co., 158 US 601 (1895) ). For several years after that, there was no formal federal income tax until 1913 when the Sixteenth Amendment to the Federal Constitution was ratified, giving Congress the power to "impose and collect taxes on income."

The idea of ​​what a recreational vacation today is was actually inspired by less comfortable events. The American Industrial Revolution (sometimes called the Second Industrial Revolution) led the American economy to grow rapidly - driven by the expansion of railroads. But it also had a price. American workers work up to 12 hours a day, seven days a week. An influx of migrant workers and women, and due to the relative absence of child labor laws, children worked for low wages in mills and factories. Trade unions demanded change and began organizing strike rallies. By the end of the summer in 1882, there was a call for a "working man's holiday" as a public display of solidarity.

To face immigration waves, in the same year, Congress passed the Immigration Act of 1882, which imposed a head tax on "every passenger who is not a citizen of the United States" arriving by steamer or sailboat from any foreign port. The tax was fifty cents per person payable to the United States Treasury and deposited in the "Immigrants Fund." The law also prohibited (or excluded) the entry of any "condemned, insane, foolish, or any person unable to take care of himself without becoming a public charge." The latter group consists mostly of unmarried women.

We're not quite sure who came up with the idea for Labor Day. Some say it was Matthew Maguire, New York's Central Labor Union secretary, who suggested the holiday (he's credited with saving the first show - keep reading). Others claim it was Peter J. McGuire, General Secretary of the Carpenters and Carpenters Brothers and one of the founders of the American Federation of Workers. McGuire is also considered the father of Labor Day, International Labor Day.

Ultimately, the Central Labor Union collapsed, and many former members joined the American Federation of Labor (AFL), which is now the American Federation of Labor and Congress of Industrial Organizations (AFL-CIO). The AFL was founded in 1886, and the CIO was established in 1935. The two merged in 1955. Today, the federation represents 12.5 million workers and workers in 55 national and international trade unions. It is backed by an individual tax on affiliates and organizing committees (yes, it really is called a tax).

The first Labor Day holiday was celebrated on Tuesday, September 5, 1882 in New York City. In 1887, Colorado, Massachusetts, New Jersey, New York, and Oregon created the Labor Day holiday in their states. By 1894, most states had adopted the holiday, and on June 28, 1894, Congress passed a law making the first Monday in September of each year a statutory holiday in the District of Columbia and the territories.

You may know that federal leave usually means tax leave (extra day to file and pay) for taxpayers. But statewide statutory clearance only delays the due date for filing a Federal Income Tax Return if the IRS that you are required to file is located in that state. For individuals, statewide statutory vacation also delays the due date for filing a return application for residents of that state. But statutory clearance doesn't delay the due date for filing federal taxes.

The first Labor Day parade almost did not take place. When it was time for the show to start, Grand Marshall William McCabe and dozens of marchers attended

Post a Comment