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IIRC we started the nesting by default as that's what Bootstrap did (the dominant CSS lib at the time).
As of Bootstrap 5.0 it no longer expects inputs to be nested inside the label tag. The UI world's current darling, Tailwind CSS, also doesn't seem to expect checkboxes/radios nested inside labels.
So this default nesting adds additional burden on the devs to remove, if they are using one of the current popular CSS libs. Hence my proposal to remove the default nesting and keep it as an optional feature.