Combat Zone

What Is a Combat Zone?

A combat zone is an area designated as a war zone during a predefined period of time for the motivations behind reporting to the Internal Revenue Service (IRS) by military faculty. While working in a combat zone, individuals from the military receive a number of tax benefits.

Understanding a Combat Zone

The IRS officially characterizes a combat zone as "any area the President of the United States assigns by Executive order as an area in which the U.S. Armed Forces are connecting with or have participated in combat. An area normally turns into a combat zone and quits being a combat zone on the dates the President assigns by Executive order."

Military individuals are permitted to prohibit from gross income reporting to the IRS any compensation earned during service in a combat zone. They likewise may reject reenlistment bonuses, pay for accrued leave, and miscellaneous things (e.g., awards) received during periods in a combat zone. Be that as it may, the amount of exclusion is limited to the highest rate of enrolled pay plus "impending risk/unfriendly fire" pay for every month during any part of which a military staff served in a combat zone, or was hospitalized because of service in a combat zone.

Special Considerations

Current Recognized U.S. Combat Zones

The U.S. isn't actively taken part in actual combat in every one of the countries on the combat zone list. The rundown additionally incorporates combat support areas and contingency operations areas. Starting around 2020, the U.S. has four active combat zones: Sinai Peninsula, Afghanistan area, Kosovo area, and the Arabian Peninsula area.

Under the 2017 Tax Cut and Jobs Act, the Sinai Peninsula was remembered for the rundown of recognized combat zones. Individuals from the U.S. Armed force, U.S. Naval force, U.S. Marines, U.S. Air Force, and U.S. Coast Guard who performed services in the Sinai Peninsula can now claim combat zone tax benefits.

The Afghanistan area envelops Jordan, Kyrgyzstan, Pakistan, Tajikistan, and Uzbekistan, Philippines, Djibouti, Yemen, Somalia, and Syria. This area was designated beginning in 2001. After Afghanistan, other geographic areas were certified by the Department of Defense for combat zone benefits as a result of their direct support of military operations in Afghanistan.

The Kosovo area was designated as a combat zone beginning in 1999. This area incorporates the Federal Republic of Yugoslavia (Serbia/Montenegro), Albania, Kosovo, the Adriatic Sea, and the Ionian Sea (north of the 39th parallel).

At last, the Arabian Peninsula area was ordered as a combat zone beginning in 1991. This area incorporates the Persian Gulf, the Red Sea, the Gulf of Oman, the part of the Arabian Sea that is north of 10 degrees north scope and west of 68 degrees east longitude, the Gulf of Aden, the total land areas of Iraq, Kuwait, Saudi Arabia, Oman Bahrain, Qatar, the United Arab Emirates, Jordan, and Lebanon.

Features

• Starting around 2020, the U.S. has four active combat zones: Sinai Peninsula, Afghanistan area, Kosovo area, and the Arabian Peninsula area.
• While working in a combat zone, individuals from the military receive a number of tax benefits.
• A combat zone is an area designated as a war zone during a predefined period of time for the motivations behind reporting to the Internal Revenue Service (IRS) by military faculty.
• Military individuals are permitted to prohibit from gross income reporting to the IRS any compensation earned during service in a combat zone.