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July 4th Becomes A National Holiday. In 1870, the U.S. Congress made July 4th a federal holiday; in 1941, the provision was expanded to grant a paid holiday to all federal employees.
President Truman's announcement of the surrender started mass celebrations across the United States, which was when he declared September 2 as the official VJ Day in 1945. In 1975, the holiday was abolished at the federal level leaving Rhode Island as the only state in the U.S. where the holiday is a legal holiday.