By Darius Amiri | Rose Law Group Reporter
In a significant development for U.S. employers and foreign national skilled workers, a federal judge has ruled that the Trump Administration’s $100,000 fee on certain new H-1B visa petitions is unlawful.
The fee, announced in September 2025, dramatically increased the cost of sponsoring some new H-1B workers. Prior to the policy, employers typically paid government filing fees ranging from approximately $2,000 to $5,000, depending on the circumstances of the case. The additional $100,000 charge applied to many petitions involving foreign nationals outside the United States and was intended to discourage reliance on foreign labor.
On June 8, 2026, U.S. District Judge Leo Sorokin ruled that the fee constituted a tax rather than a lawful immigration-related penalty. Because the Constitution gives Congress—not the President—the authority to impose taxes, the court concluded that the Administration lacked legal authority to create the fee through executive action alone. The decision arose from a lawsuit filed by a coalition of 20 states, which argued that the fee would worsen workforce shortages in industries that rely heavily on highly skilled foreign professionals, including technology, healthcare, and education. The court agreed that the government had exceeded its authority in implementing the measure.
For now, the ruling removes a major financial barrier that had significantly reduced demand for affected H-1B petitions. Employers considering hiring foreign talent may proceed without the additional $100,000 fee while the decision remains in effect. Court filings indicated that the fee had sharply discouraged filings, with relatively few employers willing to pay the added cost.
While the federal government is expected to appeal the decision-and further litigation is likely-the legal landscape may continue to evolve in the coming months. Meanwhile, employers with current or future H-1B sponsorship needs should continue monitoring developments and consult immigration counsel regarding filing strategies and timing. Rose Law Group will continue to track this case closely and provide updates as additional guidance becomes available.
A federal judge on Monday struck down a $100,000 fee U.S. President Donald Trump imposed on new H-1B visas for highly skilled foreign workers, concluding that it constituted an unlawful tax Congress never authorized.
U.S. District Judge Leo Sorokin in Boston issued the ruling, opens new tab in a lawsuit filed by 20 Democratic state attorneys general challenging a fee Trump announced in September that dramatically raised the cost of obtaining H-1B visas, which tech companies in particular rely heavily on to bring on foreign workers.
