States Hail Court Ruling Blocking $100,000 H-1B Visa Fee

Washington — State attorneys general across the United States welcomed a federal court ruling that struck down the Trump administration’s $100,000 fee on new H-1B visa petitions, saying the decision protects employers, universities, healthcare providers and research institutions that rely on highly skilled foreign workers.

The U.S. District Court in Massachusetts issued a final ruling a day earlier vacating the fee, which applied to new H-1B petitions filed after Sept. 21, 2025. A multistate coalition challenged the policy, arguing that the administration did not have congressional authorization to impose the charge.

Washington Attorney General Nick Brown said the ruling would help the state continue attracting specialized talent.

“This win helps keep our state at the forefront of highly specialized research that drives our world’s most dynamic industries,” Brown said.

“Unchecked, this illegal tax would have massively increased costs for Washington state agencies, public universities, and public colleges,” he added.

Brown’s office said nearly 500 H-1B visa holders work across more than 30 Washington state agencies, public universities and colleges. Officials said the fee would have made it harder for schools and public institutions to fill critical jobs, particularly in artificial intelligence, cybersecurity and medicine.

California Attorney General Rob Bonta, whose office led the multistate challenge, called the ruling a decisive rejection of the policy.

“The judgment is in! The Trump Administration’s unlawful and costly $100,000 tax has been struck down. This tax was an attack on America’s ability to attract and retain the high-skilled talent that strengthens our economy and helps us meet critical workforce needs,” Bonta said.

“California remains open for business, open to talent, and committed to ensuring our communities have essential services — from healthcare to education — that depend on a strong, skilled workforce,” he added.

Connecticut Attorney General William Tong also praised the decision, saying the fee placed an unfair burden on employers.

“We just stopped Donald Trump’s crude attempt to hawk the American Dream to the highest bidder. Trump’s outrageous fees were a steep burden for Connecticut employers across the public and private sector who rely on skilled H-1B workers for difficult, vital positions,” Tong said.

“We sued, we won, and we’re going to keep fighting to protect a fair and lawful immigration process,” he added.

State officials said the fee created a costly barrier for employers seeking workers in specialized fields, including teachers, physicians, researchers and nurses. They argued that the policy risked worsening labor shortages and disrupting essential public services.

According to the coalition, employers previously paid between $960 and $7,595 in regulatory and statutory fees for H-1B visas before the $100,000 charge was introduced.

The states also pointed to the economic contributions of H-1B workers and their families, citing estimates that they contribute $86 billion annually to the U.S. economy, pay $35 billion in federal and payroll taxes, and pay another $11 billion in state and local taxes. (Source: IANS)