US Appeals Court Blocks $100,000 H-1B Visa Fee Imposed by Trump Administration

A federal appeals court in the United States has upheld a lower court's ruling that prevents the Trump administration from enforcing a hefty fee of $100,000 on H-1B visas, which are designated for highly skilled foreign workers. This decision was made by a three-judge panel from the First Circuit Court of Appeals, based in Boston, which rejected the government's request to stay the order issued by US District Judge Leo T. Sorokin on June 8, 2026. Judge Sorokin had previously deemed the proposed fee as an unlawful tax that lacked the necessary authorization from Congress, thereby striking it down. The appeals court's ruling reinforces the stance taken by the plaintiffs, which include 20 states governed by Democratic leadership, emphasizing that the core issue is not whether Congress has the power to delegate such authority, but rather whether it has actually done so in this instance.

The contentious fee was introduced following a proclamation by President Donald Trump in September of the previous year, which mandated the imposition of a $100,000 charge for new H-1B visa applications. The H-1B visa program is crucial for American companies, particularly in the technology sector, as it allows them to employ foreign workers who possess specialized skills and expertise. Each year, thousands of employees from countries such as India and China are recruited through this visa program, highlighting its significance in addressing labor shortages in high-demand fields. The appeals court referenced a 1989 ruling by the US Supreme Court, which established that the executive branch must demonstrate that Congress has explicitly granted the authority to impose any financial burdens, whether labeled as fees or taxes.