A federal judge in Boston has struck down a $100,000 fee imposed by President Donald Trump on H-1B visa applications for highly skilled foreign workers. U.S. District Judge Leo Sorokin ruled that the fee constituted an unlawful tax that violated the Constitution and the federal Administrative Procedure Act, concluding that Congress had not delegated the authority to impose such a payment.
The ruling follows a lawsuit filed by 20 Democratic state attorneys general challenging the fee announced in September. While the administration argued the fee was a monetary penalty intended to restrict the entry of certain foreign nationals to prevent the replacement of American workers and protect U.S. security, Judge Sorokin determined that the substance and application of the payment revealed it to be a tax regardless of its name.
The H-1B program, in place since 1990, allows for 85,000 visas annually, with 20,000 allocated to applicants with advanced degrees. The $100,000 fee represented a 20-to-50 fold increase over previous costs, which typically ranged from $2,000 to $5,000. The increase sparked chaos and concern among technology companies, hospitals, and universities that rely on the program for legal immigration.
According to court filings, the high cost discouraged visa requests, with U.S. Citizenship and Immigration Services receiving only 85 payments of the $100,000 fee as of February 15. While the decision provides a reprieve for employers of skilled foreign workers, the Trump administration is widely expected to appeal the ruling.