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Judge Blocks $100,000 H-1B Visa Fee as Unlawful Tax

6/9/2026, 11:06:58 PM

Fee Blocked

On June 8, 2026, U.S. District Judge Leo T. Sorokin in Massachusetts struck down the Trump administration’s $100,000 H-1B fee, ruling it a tax that only Congress may impose. The decision follows a lawsuit by states—California, Massachusetts, Arizona, Colorado, Connecticut, Delaware, Hawaii, Illinois, Maryland, Michigan, Minnesota, New York, North Carolina, Nevada, New Jersey, Oregon, Rhode Island, Vermont, Washington, Wisconsin—led by California AG Rob Bonta and Massachusetts AG Andrea Campbell. Companies such as Amazon, Microsoft, Meta Platforms, Apple and Tata Consultancy Services were cited as affected. The fee raised petition costs from $2,000-$5,000 to $100,000, a twenty-fold increase.

Background

The 1990 H-1B law lets U.S. firms hire foreign specialists for up to six years, with standard filing fees of $2,000-$5,000. In September 2025, President Trump issued a proclamation raising the fee to $100,000 for certain large employers, claiming program abuse and worker displacement.

Impact

The decision preserves a channel for skilled workers in technology, healthcare and engineering, fields facing talent gaps, and reaffirms that only Congress may levy taxes, curbing future executive use of financial penalties to reshape immigration.

Official Statements

California AG Rob Bonta called the fee “an unlawful and costly $100K tax” that threatens America’s ability to attract talent. A DHS spokesperson called the ruling “blatant judicial activism.” Taylor Rogers, White House spokesperson, said President Trump “has clear legal authority to restrict entry of any class of aliens …” and will appeal. Justice Department said the court lacked jurisdiction over the fee.

Opposition

DHS officials argue the fee was needed to protect American jobs, curb “abuse” of the H-1B program, and preserve national identity. Business groups in tech warned the surcharge would price smaller firms out of the market, limit hiring flexibility, and push talent toward countries with more predictable immigration systems.

Conflicts

A district court previously upheld a similar fee, while Sorokin’s ruling declares it unlawful. Sources differ on whether the payment is a “tax” or a “regulatory payment.”

Quotes

“Here, the substance and application of the $100,000 payment reveal that it is a tax, regardless of what the payment is called.” — Judge Leo T. Sorokin

“The Trump Administration’s unlawful and costly $100K tax has been struck down.” — Rob Bonta, California Attorney General

“We disagree with this blatant judicial activism dismantling President Trump’s historic efforts for immigration reform.” — Department of Homeland Security spokesperson

“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.” — Taylor Rogers, White House spokesperson

Next Steps

The administration has appealed; the case may reach a federal appellate court. Lawmakers and advocacy groups are preparing legislative reforms to address H-1B fee structures.