I understood that it was a zero crossing detector (hence my last comment). I did not realize (then) that it was an 8.25 mV window detector, which answers my question about the "threshold", except that it really isn't a "threshold" per se (technically it is of course) because that would be a point which separates one class of input signal (those below the point) from another (those above the point) but in the case of an AC signal , ALL signals CROSS the zero point so there is no distinction.
If , for example , the OP had a bandpass filter that blocks anything below a certain frequency (at which the amplitude falls below said "threshold" , say 33% below input amplitude) and everything above that frequency is above said "threshold", then one could correctly state that a "threshold" detector would separate frequencies below fc from frequencies above. The zero crossing detector separates nothing. It will detect ANY AC signal. Thus, I would not call it a "threshold" . I would call it the "zero crossing band (or window)", if only to distinguish it from what I described.
That still doesn't answer my question about this comment:
and the 1.0V reference voltage holds off anything under 40 Hz
and whether some explanation is warranted.
(thanks for clarifying the voltage divider issue)