Federal Judge Strikes Down Trump’s $100,000 H-1B Visa Fee, Citing Legal Flaws

A federal judge has invalidated a Trump administration policy that imposed a $100,000 fee on H-1B visas for highly skilled workers, ruling the measure unlawful due to procedural and legal deficiencies. The decision, announced on June 7, 2026, marks a significant setback for the administration’s efforts to curb what it described as “abuse” of the visa program.

What Led to the Ruling?

The policy, introduced in 2019, aimed to increase revenue from the H-1B program while discouraging companies from using the visas as a substitute for U.S. workers. However, the court found that the fee lacked proper congressional authorization and violated the Administrative Procedure Act. Judge Amit Mehta of the U.S. District Court for the District of Columbia ruled that the fee was an “impermissible surcharge” without statutory backing.

“The Department of Homeland Security failed to justify the fee’s necessity or demonstrate its alignment with statutory goals,” the ruling stated. “The agency’s rationale was both arbitrary and capricious.”

Impact on Employers and Workers

The decision immediately halts the enforcement of the fee, which had already faced legal challenges from tech companies and advocacy groups. Employers who had begun paying the fee in anticipation of the policy’s implementation—some as early as 2020—now face uncertainty about future costs. The H-1B program, which allows U.S. companies to employ foreign workers in specialized occupations, is critical for the tech industry, with over 200,000 visas issued annually.

“This ruling is a victory for employers and workers who were unfairly burdened by an unworkable policy,” said a spokesperson for the Information Technology Industry Council. “It reaffirms that regulatory changes must be grounded in law and careful analysis.”

What Happens Next?

The Department of Homeland Security has not yet commented on the ruling, but legal experts speculate that the administration may appeal or seek to reinstate the fee through new legislation. The case, Technology Policy Institute v. Mayorkas, has drawn attention for its implications on executive authority to impose fees without congressional approval.

“This decision underscores the limits of regulatory power,” said Professor Laura Rosen, a immigration law scholar at Yale Law School. “When agencies overstep, the courts have a duty to intervene to protect both businesses and the public interest.”

Broader Implications for Immigration Policy

The ruling adds to a growing body of legal challenges against Trump-era immigration policies. Last year, a federal court also struck down a rule that would have restricted asylum access for migrants arriving at the U.S.-Mexico border. Together, these decisions highlight the judiciary’s role in checking executive actions on immigration.

For now, the H-1B visa process will revert to pre-2019 rules, with the annual cap of 85,000 visas and no additional fees. However, the debate over the program’s structure—particularly its impact on U.S. workers and tech innovation—remains unresolved.

Read the full New York Times coverage