Unpublished Disposition, 912 F.2d 469 (9th Cir. 1990)

MEMORANDUM^*** 

Donald L. Hymes ("Hymes") appeals the district court's order dismissing his complaint. Hymes had sued five employees of the Internal Revenue Service ("IRS") and had also sued an employee of an union pension fund. The district court ruled that it lacked jurisdiction to grant Hymes the injunctive relief that he had requested. The court also ruled that Hymes had failed to state a claim on which the court could base an award of damages. We affirm and adopt the reasoning of the district court as our own.

The IRS is entitled to sanctions in this case. As we have indicated before, we will impose sanctions on a party who pursues a frivolous appeal even if that party appears pro se. See Grimes v. Commissioner, 806 F.2d 1451, 1454 (9th Cir. 1986) ("Sanctions are appropriate when the result of an appeal is obvious and the arguments of error are wholly without merit."); see also In re Becraft, 885 F.2d 547, 548 (9th Cir. 1989) (tax attorney sanctioned for filing frivolous motion for rehearing based on claim that income tax laws did not apply to U.S. citizens). Hymes had absolutely no legal foundation for his complaint against the IRS or Lyons. It was frivolous for him to assert that he was not a taxpayer and that his wages were not taxable income. Therefore, we award the IRS a sanction in the amount of $1000. We find that amount reasonable given the clearly meritless nature of the claims, the need to induce parties to eschew otiose litigation, and fact that the IRS has indicated that the amount is less than its actual costs. See also Grimes, 806 F.2d at 1454.

AFFIRMED.