Combat Zone


DEFINITION of 'Combat Zone'

An area designated as a war zone during a specified period. Members of the military do not need to claim taxable income they earn while working in a combat zone.


Troops on active duty in a combat zone are also granted additional time to file taxes. Should they be injured carrying out their duties, any compensation they receive is protected under the combat zone tax break.

  1. Combat Pay

    A tax-free form of compensation paid to members of the armed ...
  2. War Bond

    Debt securities issued by a government for the purpose of financing ...
  3. Heroes Earned Retirement Opportunities ...

    Legislation passed by Congress on May 18, 2006, that allows tax-free ...
  4. War Babies

    A name given to securities in companies that are defense contractors. ...
  5. Cash

    Legal tender or coins that can be used to exchange goods, debt ...
  6. Quarter - Q1, Q2, Q3, Q4

    A three-month period on a financial calendar that acts as a basis ...
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