US judge strikes down Trump's $100,000 H-1B visa fee as unauthorized tax

A federal judge has invalidated a significant fee imposed by the Trump administration on H-1B visas, a program crucial for U.S. tech companies seeking skilled foreign workers. U.S. District Judge Leo Sorokin in Boston ruled that the $100,000 fee, announced in September, constituted an unlawful tax that Congress had not authorized.

The administration had argued the fee was a lawful monetary penalty permitted under federal immigration law, which grants the president power to restrict entries deemed detrimental to U.S. interests. However, Judge Sorokin concluded that the fee's substance and application clearly marked it as a tax, regardless of its designation.

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Here, the substance and application of the $100,000 payment reveal that it is a tax, regardless of what the payment is called.

Sorokin's decision drew parallels to a Supreme Court ruling that struck down Trump's tariffs, asserting that the president lacked the authority under immigration law to levy such a tax. The H-1B visa program typically offers 65,000 visas annually, with an additional 20,000 for advanced degrees, and previously cost employers between $2,000 and $5,000.

Trump had justified the hefty fee by stating the H-1B program was exploited to replace American workers with cheaper labor. The fee did not apply to foreign citizens already in the U.S. on student visas. The ruling comes as few employers have actually paid the fee, with only 85 payments recorded as of February.

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President Trump has clear legal authority to restrict entry of any class of aliens he determines is not in America’s best interests, and that is exactly what he did.