A federal judge in Boston has struck down the Trump administration’s controversial $100,000 annual fee on H-1B visa applications. US District Judge Leo Sorokin issued a 42-page ruling vacating the policy, declaring the sweeping fee an unlawful tax that violated federal administrative law and the US Constitution.
The decision represents a major defeat for the administration’s aggressive immigration crackdown. Implemented last September via presidential proclamation, the policy represented a 20-to-50 fold increase on existing rates. The administration argued the fee would stop the large-scale replacement of American workers and force companies to prioritize domestic hiring.
However, Judge Sorokin ruled that the executive branch drastically exceeded its authority. He determined that the massive fee amounted to a tax rather than a regulatory restriction. Under the US Constitution, the exclusive power to levy taxes belongs to Congress, not the president.
The ruling cited a recent Supreme Court precedent, Learning Resources v. Trump, which similarly dismantled a core pillar of the administration’s tariff strategy. The administration attempted to defend the fee using the Immigration and Nationality Act, however, the court found that the legislation does not grant taxing power.
The decision delivers a massive reprieve to Silicon Valley tech giants like Amazon, Microsoft, and Meta, which rely heavily on the high-skilled visa program. The tech sector had faced widespread panic over the enormous financial burden, given that roughly two-thirds of H-1B positions are computer-related.
The ruling also resolves critical concerns for public sectors. A coalition of 20 Democratic state attorneys general led the lawsuit, arguing the fee severely impeded the hiring of foreign doctors, teachers, and university researchers.
While the Department of Homeland Security criticized the ruling as blatant judicial activism and the White House expressed confidence that the order would be reversed on appeal, the fee is blocked for now.
