Trump's $100,000 H-1B visa application fee rejected by U.S. judge

Trump's $100,000 H-1B visa application fee rejected by U.S. judge

A judge of the United States District Court ruled that the Trump administration’s executive order imposing a $100,000 application fee on H-1B visas is unlawful and void, providing crucial relief for U.S. tech companies highly reliant on foreign skilled talent.

On Monday, Leo T. Sorokin, a judge of the Massachusetts Federal District Court, issued a ruling finding that the executive order’s substantial increase of popular visa application fees constitutes an illegal taxation and must be revoked.

The Trump administration immediately announced it would appeal, claiming the president has clear legal authority to restrict the entry of foreign nationals, and noting that another federal court has upheld a nearly identical order. This ruling deals a blow to Trump’s agenda to tighten immigration policy and boost domestic employment.

The court backed a joint lawsuit brought by California and 19 other states, finding the fee policy exceeded presidential powers and would cause significant harm to public sectors such as education and healthcare. Tech and outsourcing giants like Amazon, Microsoft, Apple, Meta, and Tata Consultancy Services are major users of H-1B visas.

Judge’s Ruling: The Application Fee Is an Unauthorized Tax

In the ruling, Sorokin clearly stated that the policy “imposes a tax on H-1B applications without the necessary authorization from Congress,” and emphasized that “ambiguous legal language is not sufficient to constitute a delegation of taxing authority.”

Legally, Sorokin cited a recent Supreme Court precedent overturning Trump’s sweeping global tariffs, determining that where laws are unclear, the president does not have unilateral authority to impose taxes or tariffs.

The Trump administration defended the application fee by arguing it was not a tax, as it was not collected by the IRS nor intended to increase government revenue. The administration further cited the president’s “broad discretionary authority” over the entry of foreign nationals.

White House Rejects Ruling, Firmly Announces Appeal

The White House refused to accept the ruling and announced an appeal. White House spokesperson Taylor Rogers said in a statement:

“President Trump has clear legal authority to restrict any category of foreign nationals he deems not in America’s interest, and that is exactly what he has done. The H-1B program has been abused for decades, and President Trump has finally taken action to correct it. A federal judge in Washington has supported a nearly identical order, and the administration believes this ruling will be overturned on appeal.”

At present, at least three lawsuits involve the application fee policy. The U.S. Chamber of Commerce and a nurse recruiting firm are both challenging the policy. Last December, a judge denied the Chamber’s request to suspend the fee, and the Chamber has appealed to the Washington federal appeals court.

20 States Jointly Pressure: Policy Exceeds Authority and Harms Public Sector

The core lawsuit behind this ruling is led by California Attorney General Rob Bonta and Massachusetts Attorney General Andrea Joy Campbell.

The joint plaintiffs also include Arizona, Colorado, Connecticut, Delaware, Hawaii, Illinois, Maryland, Michigan, Minnesota, New York, North Carolina, Nevada, New Jersey, Oregon, Rhode Island, Vermont, Washington, and Wisconsin, for a total of 20 states.

The states argued in the lawsuit that the policy not only exceeded presidential authority but would also inflict especially severe impacts on public sectors like education and healthcare that rely on foreign skilled workers.

The case is titled State of California v. Mullin, 25-cv-13829, heard in the U.S. District Court for Massachusetts.

H-1B Reforms: The Application Fee Is Just One of Series of Tightening Measures

The H-1B visa is a core mechanism in the U.S. employment-based immigration system, allowing companies to hire foreign workers with a university degree for specialized technical positions. Visa slots are allocated by lottery, with technology companies as the main users.

Last September, Trump signed a presidential proclamation raising the application fee to $100,000, aiming to curb what he called “longstanding displacement of domestic labor” through program abuse. The fee is valid for one year, requiring renewal by government initiative after expiration.

The increased application fee is just one of several measures by the Trump administration to restrict H-1B regulations. The government also proposed raising minimum salary requirements for H-1B holders, and has already changed the annual lottery rules to prioritize visas for foreign applicants with the highest salaries.

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