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.

BREAKING DOWN '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.

RELATED TERMS
  1. Combat Pay

    A tax-free form of compensation paid to members of the armed ...
  2. Zone Of Resistance

    A price zone in which a stock finds resistance and begins to ...
  3. Zone Of Support

    A price zone in which a stock finds support and begins to trade ...
  4. Heroes Earned Retirement Opportunities ...

    Legislation passed by Congress on May 18, 2006, that allows tax-free ...
  5. Zoning Ordinance

    Written regulations and laws that define how property in specific ...
  6. Enterprise Zone

    A specific geographical area that has been designated by a governmental ...
Related Articles
  1. Financial Advisor

    Preparing Finances For Deployment: A Guide For Service Members

    Those who follow the instruction in this article can look forward to a homecoming of financial prosperity.
  2. Markets

    Zoning Laws for Home Based Businesses

    Understand what types of home-based businesses are allowed and what types of businesses aren't allowed. Learn what to do to ensure zoning compliance.
  3. Personal Finance

    17 Types of Income the IRS Can’t Touch

    That's right, 17. Uncle Sam can't get his hands on your money if it's in one of these very specific income categories.
  4. Trading

    Playing It Safe With Trades? Or Holding Yourself Back?

    Fear of breaking out of a comfort zone can prevent an investor from reaching his or her full potential.
  5. Markets

    How Military Spending Affects The Economy

    Military spending is a one area where there is no private solution to replace the public purse, but it does end up impacting the economy.
  6. Personal Finance

    Tax Variations Of The HEART Act

    The HEART Act is designed to allow service members and reservists make a smooth financial transition into active duty and back into civilian life.
  7. Trading

    Finding Your Investing Comfort Zone

    Choosing the right investments for you is the best way to feel comfortable with your portfolio.
  8. Personal Finance

    Ten Things That You Might Not Know Are Taxable

    When you file your taxes this year make sure that you have claimed all taxable income. Here are ten things that you might not know are taxable
  9. Markets

    What Countries Spend On Antiterrorism

    It would be an understatement to say that no country's anti-terrorism budget has decreased in the last two decades. Here are some hard numbers.
  10. ETFs & Mutual Funds

    War's Influence On Wall Street

    Blitzkrieg? Dawn raids? Sounds like the markets and the battlefield have a few things in common.
RELATED FAQS
  1. Are there special benefits for U.S. armed forces personnel?

    If you are a member of the military, you may be afforded special tax benefits that might not be available to other taxpayers. ... Read Answer >>
  2. What would you recommend about putting my TSP contributions into a Roth IRA plan, ...

  3. What should I do with my disability benefits from the military?

    I just got awarded my disability from the military. It's about $800 a month. ... Read Answer >>
  4. What country spends the most on military and defense?

    Find out which countries spend the most on their military and defense, how it will impact their futures and how their spending ... Read Answer >>
  5. How do you determine taxable income while receiving social security?

    Do I understand correctly that in order to determine "taxable income" while receiving social security benefits, the IRS "a... Read Answer >>
  6. Are Social Security benefits taxable?

    Find out what rules and guidelines govern if your social security benefits are taxable. Learn how to determine if you are ... Read Answer >>
Hot Definitions
  1. Cyclical Stock

    An equity security whose price is affected by ups and downs in the overall economy. Cyclical stocks typically relate to companies ...
  2. Front Running

    The unethical practice of a broker trading an equity based on information from the analyst department before his or her clients ...
  3. After-Hours Trading - AHT

    Trading after regular trading hours on the major exchanges. The increasing popularity of electronic communication networks ...
  4. Omnibus Account

    An account between two futures merchants (brokers). It involves the transaction of individual accounts which are combined ...
  5. Weighted Average Life - WAL

    The average number of years for which each dollar of unpaid principal on a loan or mortgage remains outstanding. Once calculated, ...
  6. Real Rate Of Return

    The annual percentage return realized on an investment, which is adjusted for changes in prices due to inflation or other ...
Trading Center