Emancipation Day: Why April 15, 2011 Falls on April 18th

This year (2011), the April 15^th income tax filing deadline will not fall on April 15^th.  Rather, because April 16^th is a legal holiday in the District of Columbia, it will periodically have nationwide income tax filing consequences.  This year, Emancipation Day pushes the individual income tax filing deadline to Monday April 18^th.  See IRS Notice 2011-17 here.   

What is Emancipation Day?  Every holiday has a reason behind it, however, too often we simply take pleasure in the fact that the existence of the holiday somehow positively affects us without thinking about the reason for the holiday.  Emancipation Day celebrates the day in 1862 on which President Abraham Lincoln signed the Compensated Emancipation Act to free over 3,000 slaves in the District of Columbia. 

Back to the tax impact: Because in 2011 the holiday falls on a Saturday, it is formally observed on the preceding Friday.  The preceding Friday is April 15^th.  When April 15^th falls on a holiday, the next day that is not a weekend or holiday becomes the individual income tax filing due date.  In 2011, this is Monday April 18^th.  As a result, all procrastinators will have that last weekend to take care of filing their returns.  

You can find out more about Emancipation Day at the following links:

http://en.wikipedia.org/wiki/Emancipation_Day

http://www.timeanddate.com/holidays/us/emancipation-day

But the coolest link is here with images of the original act and transcriptions thereof:  http://www.archives.gov/exhibits/featured_documents/dc_emancipation_act/

Happy President's Day!

My good friends' young son had unfortunately thought that it was "Presents Day."  I expect that he will not soon forget the lesson that this is the day on which we honor those who served our great nation as President.

Friday's Tax Quote - February 18, 2011

“What is one really trying to do in the investment world?  Not pay the least taxes, although that may be a factor to be considered in achieving the end.  Means and end should not be confused, however, and the end is to come away with the largest after-tax rate of compound.

- Warren Buffett

Friday's Tax Quote - February 11, 2011

“A citizen can hardly distinguish between a tax and a fine, except that the fine is generally much lighter.”

- G.K. Chesterton

Friday's Tax Quote - February 4, 2011

“You must pay taxes.  But there’s no law that says you gotta leave a tip.”

- Morgan Stanley (Advertisement)