Trump administration proposes $103,000 fee for H-1B visas after legal setback
The Trump administration plans to charge employers seeking skilled foreign workers through the H-1B visa program a $103,265 fee, according to a proposed regulation posted Monday. Revenue would fund the legal immigration system, including federal immigration courts and U.S. Immigration and Customs Enforcement (ICE).
The administration argues the H-1B program takes jobs from Americans and fails to prioritize exceptional foreign workers. Trump tried to impose a similar $100,000 fee last year, but a federal judge invalidated it in June.
Created by Congress in 1990, the H-1B program provides 65,000 visas annually, plus 20,000 for workers with advanced degrees from U.S. universities. The proposal says the fee would make employers less likely to hire H-1B workers over qualified Americans. It cites research finding H-1B workers earn about 15% less on average than American counterparts.
U.S. District Judge Leo T. Sorokin ruled the original fee was an illegal tax imposed without Congress and failed to consider labor shortages in fields such as medicine and education. The administration appealed, but its request to pause the ruling was denied in July.
The new proposal seeks a different legal path by using fees to offset immigration system costs. It would provide nearly $3 billion annually to immigration courts, supporting more than 8,400 hires, including judges, and roughly $1 billion to ICE for application vetting and student visa administration. USCIS would use $3 billion to offset existing costs, while other agencies would also receive funding.
The rule would restrict a major pathway used by Silicon Valley and other industries. Critics say it would hurt U.S. competitiveness with China and India and industries reliant on foreign professionals. Immigration lawyer Charles Kuck called it “again an illegal tax.”
Amazon received more than 9,300 approved H-1B petitions through June 30 in fiscal 2026, the most of any company. Tata Consultancy Services, Infosys, Apple and Microsoft were also among the top users.
Sorokin’s ruling followed a lawsuit by 20 states led by California and Massachusetts. The U.S. Chamber of Commerce and a research university association separately challenged the earlier fee, saying H-1B workers fill critical medical, manufacturing and technology jobs. A judge sided with the administration in December, and the groups appealed.
The public will have 30 days to comment after the rule is published Tuesday. Finalization can take months or years.
