An automatic digital image capturing and processing system for use in a POS environment, comprising a system housing having vertical housing section provided with an imaging window, and containing an area-type illumination and imaging station for generating and projecting an area-type illumination and imaging zone through the imaging window, and into a 3D imaging volume definable relative to the imaging window. An object motion detection subsystem automatically detects the motion of objects passing through the 3D imaging volume, and generates motion data representative of detected object motion within the 3D imaging volume. And a control subsystem, responsive to the object motion detection subsystem, automatically controls operations within the area-type illumination and imaging station during system operation. The area-type illumination and imaging zone supports automated illumination and imaging of objects passing therethrough, so that digital area-type images of the objects are automatically generated as objects pass through the area-type illumination and imaging zone within the 3D imaging volume during system operation.