A federal judge on Monday blocked President Donald Trump’s exorbitant $100,000 H-1B visa fee. In a 42-page ruling, Massachusetts District Judge Leo Sorokin ruled that the fee was an illegal tax on businesses and ordered it to be vacated.
What changed
A federal judge vacated President Donald Trump’s policy imposing a $100,000 fee for employers’ H-1B visa applications. The policy violated the federal Administrative Procedure Act and the Constitution, Judge Leo Sorokin declared in the ruling.
Trump implemented the $100,000 fee in a presidential proclamation last September. Prior to the change, H-1B visa fees had ranged from $2,000 to $5,000 per application.
Sorokin used the Supreme Court’s justification in its 2012 case National Federation of Independent Business v. Sebelius, concerning fees imposed on Americans who did not sign up for the Affordable Care Act, to argue that the payment was a tax, not a penalty. “Here, the $100,000 payment requirement for all H-1B petitions does not aim to establish that hiring H-1B workers is illegal. The payment is not a penalty, just as the IRS fee in Sebelius was not, because it is not ‘punishment for an unlawful act or omission,’” Sorokin wrote.
The judge found that the payment is a tax that Congress had not delegated to the executive branch.
Why it matters
For H-1B employers, this ruling restores the prior fee structure. U.S. District Judge Leo Sorokin agreed with a group of Democratic-led states that the administration exceeded its authority, and the fee usurped Congress’s power to set immigration policy and taxes.
If you were deferring H-1B filings to avoid the $100,000 fee, you can now move forward with petitions under the lower fee schedule. However, the ruling’s finality is uncertain: The Trump administration said it would appeal the ruling. An appellate stay or reversal could reinstate the higher fee, though such an outcome would require appellate courts to overrule a constitutional analysis grounded in settled tax-law doctrine.
For practitioners, the decision confirms that executive branch agencies cannot impose federal taxes without congressional delegation, even in the name of immigration policy. This principle may constrain similar fee increases in the future.
Way forward
- File H-1B petitions now under the vacated fee structure ($2,000–$5,000 per petition). USCIS must accept filings at the lower rate unless and until a court orders otherwise.
- Monitor the appeal. The Department of Homeland Security’s notice of appeal will be docketed with the U.S. Court of Appeals for the First Circuit. Check 1st Circuit docket for updates.
- Document the ruling date. If the government later reinstitutes the fee, you will have evidence that compliant filings occurred during the vacatur period, which may protect client claims to priority dates or good-faith reliance.
- Advise clients of uncertainty. Until the appeal is resolved or the administration exercises restraint, the H-1B fee remains in flux. Discuss cash-flow and timing risk accordingly.
Disclaimer
Fola Editorial is a software company, not a law firm. This article is not legal advice and does not create an attorney–client relationship. Consult a licensed immigration attorney before making filing decisions. Immigration policy can change without notice and may be reversed on appeal. Verify all details against the primary source linked above.