A major relief has come for thousands of foreign professionals and IT companies after a U.S. federal court struck down the Trump administration’s controversial decision to sharply increase H-1B visa application fees.
The ruling comes after several business organizations, technology associations, and Democratic-led states challenged the administration’s move to impose an additional $100,000 fee on new H-1B visa applications. The Trump administration had justified the hike by arguing that foreign workers were taking jobs away from American citizens and that higher fees would discourage excessive reliance on overseas talent.
However, U.S. District Judge Leo Sorokin of Boston ruled that the fee increase was unlawful, stating that the President does not have the authority to impose what effectively amounts to a tax without approval from Congress. According to the court, the additional $100,000 charge was far beyond a standard administrative fee and therefore could not be introduced through executive action alone.
The dispute began in September 2025 when the administration invoked special presidential powers to introduce the hefty surcharge on H-1B visa applications. The move immediately faced strong opposition from business groups, immigration advocates, and state attorneys general, who argued that it violated both the U.S. Constitution and federal administrative law.
While an earlier federal court ruling had upheld the fee hike, citing the President’s broad authority over immigration policy, Judge Sorokin disagreed in a separate case brought by state attorneys general. His latest ruling emphasized that the power to levy taxes rests solely with Congress, making the fee increase unconstitutional.
The decision is expected to provide significant relief to Indian IT companies and skilled professionals who depend heavily on the H-1B visa program for employment opportunities in the United States.
The White House has expressed disappointment with the verdict and announced plans to appeal the decision in a higher court. As a result, the legal battle over the H-1B visa fee hike is far from over, with the final outcome now likely to be determined by an appellate court.
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