Frivolous position

Frivolous Position A Frivolous Position refers to a legal argument, claim, or stance that lacks merit or foundation, often taken in an attempt to evade taxes, bypass regulations, or avoid contractual obligations. Such positions are usually unsupported by law, facts, or evidence, and are generally rejected by tax authorities, regulatory bodies, or courts. Taking a frivolous position can have serious consequences, including penalties, interest, or legal sanctions, because it demonstrates intentional misuse or abuse of the legal system.

Example: A taxpayer claims that income earned from a regular business activity is entirely exempt from taxation without any legal basis. Tax authorities reject this frivolous position and impose penalties for incorrect filing