A federal judge in Boston on Monday struck down the Trump administration's $100,000 fee on new H-1B visas, ruling that the executive branch exceeded its authority by imposing what the court described as an unauthorized tax on employers seeking to hire highly skilled foreign workers.
U.S. District Judge Leo Sorokin sided with a coalition of 20 states challenging the policy, which the administration introduced in September as part of a broader effort to restrict immigration and encourage companies to hire American workers instead of foreign labor.
"The Court finds that the Policy imposes a tax on H-1B petitions without the requisite delegation by Congress," Sorokin wrote in his ruling, as reported by NPR.
The H-1B program allows U.S. employers to hire foreign workers for specialized occupations, particularly in technology, medicine, education and research. Before the policy change, visa applications generally cost employers between $2,000 and $5,000 in fees.
The Trump administration argued the higher fee was intended to discourage reliance on foreign workers, with Justice Department lawyer Tiberius Davis doubling down on the measure by telling judge Sorokin that "the effect is to incentivize companies to train up and hire American workers,"
Sorokin repeatedly questioned the scope of that authority during the hearing, asking whether the administration's legal theory would allow the government to impose similarly large fees in other immigration-related situations. Davis acknowledged the president's authority could extend broadly under federal immigration law.
The administration announced the fee increase through a September 2025 proclamation restricting entry for certain nonimmigrant workers. At the time, Trump said the policy was necessary to protect American jobs and wages.
The fee increase triggered immediate criticism from business groups, universities, hospitals and state governments, which argued it would make it harder to recruit doctors, teachers, researchers and technology workers.
According to court filings, the number of H-1B applications dropped sharply after the policy took effect, with the government reporting just 85 payments of the $100,000 fee as of mid-February.
The legal fight comes as the Trump administration continues tightening immigration and visa policies more broadly. Last week, another federal judge ruled the administration had unlawfully halted immigration-related applications for people from 39 travel-ban countries, saying the policies had left immigrants in "indeterminate legal limbo."
