A U.S. federal judge in Massachusetts struck down a $100,000 [1] fee on new H-1B visa applications on Monday.
The ruling removes a significant financial barrier for foreign professionals seeking to work in the U.S. and reinforces the legal boundary between executive orders and legislative taxing power.
The judge ruled that the fee imposed by the administration of President Donald Trump was unlawful and unconstitutional. According to the court, only Congress possesses the authority to levy such a tax, meaning the president cannot unilaterally implement this charge [2], [3].
The legal challenge was supported by 20 [4] Democratic state attorneys general who filed the lawsuit. The plaintiffs said that the administration overstepped its authority by attempting to generate revenue through a visa fee that functioned as a tax [4].
The H-1B program allows U.S. companies to employ foreign workers in specialty occupations. The $100,000 [1] fee would have fundamentally changed the cost structure for employers hiring high-skilled migrants, a move the court found lacked a statutory basis [2].
Because the ruling was issued in a district court, the administration may choose to appeal the decision to a higher court. However, the current order blocks the collection of the fee effective immediately [3].
“Only Congress has the authority to levy such a tax”
This ruling serves as a judicial check on executive power regarding fiscal policy. By defining the H-1B fee as a tax rather than a processing charge, the court prevents the executive branch from creating new revenue streams without congressional approval, ensuring that immigration costs remain governed by federal law rather than presidential decree.
