A federal judge blocked a Trump administration proposal to impose a fee of more than $100,000 [1] on new H-1B visas for highly skilled foreign workers.
The ruling halts a significant shift in U.S. immigration policy that would have increased the cost for companies to hire foreign talent. Critics said the move would effectively end the possibility of professional migration for many international students.
The Trump administration, including the Department of Homeland Security and the State Department, released the proposed regulation on Monday, Aug. 24 [1]. The proposal sought to formalize a fee of $103,265 [2] for the H-1B visa program. Administration officials said the fee was intended to cover costs and deter the misuse of temporary visas [4].
However, the legal challenge moved quickly. On Wednesday, Aug. 26, a federal judge struck down the fee [3]. The judge said the charge constituted an unlawful tax [3].
Industry experts and advocates warned that such a high cost would be punitive. Some analysts said the fee could crush the American dream for Indian students who rely on the H-1B pathway to remain in the U.S. after graduation [4].
The H-1B program allows U.S. employers to temporarily employ foreign workers in specialty occupations. The proposed regulation would have codified an unprecedented fee [1] that far exceeds current costs. By blocking the measure, the court maintains the existing fee structure for the time being.
“A federal judge on Monday struck down a US$100,000 fee ... concluding that it constituted an unlawful tax.”
This judicial block prevents the executive branch from using visa fees as a tool for immigration deterrence. By classifying the fee as an unlawful tax, the court reinforces the principle that significant revenue-generating charges typically require legislative approval from Congress rather than simple agency regulation.
