A federal judge has invalidated a $100,000 fee on new H-1B visas. The ruling marks a setback for President Donald Trumpโs immigration policy.
Court Rules Fee Was an Unauthorised Tax
US District Judge Leo Sorokin issued the decision in Boston on Monday. The case stemmed from a lawsuit filed by 20 Democratic state attorneys general.
The lawsuit challenged a fee announced by President Trump in September. The measure significantly increased costs for employers seeking H-1B visas. Previously, employers generally paid between $2,000 and $5,000 in fees.
The administration argued that the charge served as a lawful penalty. Officials said federal immigration law allowed restrictions on certain foreign nationals. However, Judge Sorokin rejected that argument in his ruling.
According to the judge, the fee functioned as a tax rather than a penalty. Therefore, he concluded that Congress never authorized the president to impose it. He stated that the payment’s nature and application clearly identified it as a tax.
Higher Costs Reduced Visa Applications
The H-1B program provides 65,000 visas annually for skilled foreign workers. Additionally, authorities issue 20,000 visas for applicants with advanced degrees. Successful applicants typically receive approval for three to six years.
Court filings indicated that the higher fee discouraged visa requests. As of February 15, authorities had received only 85 payments of the $100,000 charge. The administration disclosed that figure in a March court filing.
The ruling could affect future immigration policies involving visa fees. Meanwhile, the White House did not immediately comment on the decision. The case highlights ongoing legal disputes over executive authority and immigration regulations in the United States.
