H-1B Visa Fee Row: US Appeals Court Blocks Trump Administration's $100,000 Charge

Published 25 July 2026 · india

H-1B Visa Fee Row: US Appeals Court Blocks Trump Administration's $100,000 Charge Published By, Last Updated: July 25, 2026, 11:22 IST The court further observed

H-1B Visa Fee Row: US Appeals Court Blocks Trump Administration's $100,000 Charge Published By, Last Updated: July 25, 2026, 11:22 IST The court further observed that the administration had not demonstrated why the plaintiff states would avoid substantial injury if the stay request was rejected. Rapid Read Representational image A US federal appeals court has declined to put on hold a lower court order that blocked the Trump administration’s decision to impose a USD 100,000 fee on H-1B visas for highly skilled foreign workers. A three-judge bench of the Boston-based First Circuit Court of Appeals rejected the federal government’s request to stay the order issued by US District Judge Leo T Sorokin on June 8, 2026. Sorokin had struck down the fee, calling it an unlawful tax that was not authorised by Congress.

“…we deny the defendants’ motion to stay pending appeal to this Court, the district court’s June 8, 2026, Memorandum and Order and accompanying Judgment," the bench ruled on Friday. The appeals court agreed with the plaintiffs — 20 Democrat-ruled states — that “the question here is not whether Congress may delegate the authority in question. It is whether Congress has done so". The fee was introduced after President Donald Trump proclaimed in September last year mandating a USD 100,000 charge for new H-1B visas. The H-1B programme allows US companies to hire foreign workers in speciality occupations requiring theoretical or technical expertise. American technology companies rely on the visa programme to recruit thousands of employees every year from countries including India and China.

Referring to a 1989 US Supreme Court ruling, the appeals court said the executive branch must establish that Congress had “clearly" granted the authority to impose financial burdens, whether they are classified as “fees" or “taxes". “However, the Trump administration has not explained why that clear standard isn’t required in this case," the order said. The court further observed that the administration had not demonstrated why the plaintiff states would avoid substantial injury if the stay request was rejected. The order stated that the defendants “cursorily assert that the plaintiffs would face ‘minimal’ harm without developing that argument — if it does constitute an argument as to the plaintiffs’ lack of substantial injury — further". The US issues 65,000 H-1B visas annually, along with an additional 20,000 visas for foreign workers with advanced educational qualifications.