A federal court in Boston has cancelled the $100,000 fee for new H-1B visas imposed by Donald Trump. Judge Leo Sorokin ruled that the fee was an illegal tax that Congress had not authorised and that the president had no right to impose. The Trump administration has announced its intention to appeal the ruling.
- A federal court has ruled that the $100,000 H-1B fee is an illegal tax.
- The fee was imposed by Trump's executive order, which the court found to be beyond his authority.
- The Trump administration plans to appeal the ruling.
- The California Attorney General called the decision a victory for the US economy.
Court decision on $100,000 H-1B visa fee
Federal Judge Leo Sorokin in Boston has ruled illegal a levy of $100,000 that Donald Trump set for the new H-1B visa. The court determined that the fee was a tax that the president did not have the authority to impose without congressional approval. The case was initiated by a group of 20 Democratic state attorneys general who challenged the executive order, which significantly increased the cost of obtaining these visas.
Arguments and positions of the parties
The Trump administration argued that the fee was a penalty that the president could impose under the immigration, The US President has the power to restrict the entry of foreigners if he believes it is beneficial to the US. However, Judge Sorokin stressed that the payment is essentially a tax, not a fine, and referred to the US Supreme Court's decision that had previously overturned similar actions by Trump in the area of customs tariffs.
Reaction of the administration and stakeholders
White House spokeswoman Taylor Rogers said that the administration was confident that the decision would be overturned by the appellate court. She emphasised that Trump had clear authority to restrict the entry of groups of foreigners, considering it in the national interest. On the other hand, California Attorney General Rob Bonta called the decision a significant victory for the economy, as the levy was detrimental to attracting highly skilled workers.
Impact of the fee on immigration policy
H-1B programme grants 65,000 visas annually, with 20,000 additional visas for workers with higher education. Before the fee was introduced, employers paid about $2,000-5,000 per visa. The $100,000 fee, according to Trump, was intended to limit the replacement of American workers with lower-paid foreigners. However, the fee did not apply to those already in the US on student visas.
Litigation and future prospects
The fee has resulted in at least three lawsuits, including one by the US Chamber of Commerce, which is appealing a ruling by another court in Washington. The USCIS has received only 85 payments under the fee as of February, indicating low enforcement of the requirement. The Trump administration has introduced a stricter screening process for H-1B applicants, targeting highly skilled and highly paid workers.
This decision is an important precedent regarding the limits of presidential authority in the field of immigration and tax policy, in particular in the context of the impact on the US technology sector and labour market.
