In a major development for foreign professionals, a US federal appeals court has refused to allow the Trump administration to impose a $100,000 fee on H-1B visas.
The decision is especially significant for Indian professionals, who make up the majority of H-1B visa holders in the United States.
The court’s ruling means the lower court’s order against the fee hike will remain in effect for now.
What Did the Court Decide?
The 1st Circuit Court of Appeals in Boston rejected the Trump administration’s request to temporarily block a lower court’s ruling.
Earlier, a federal judge had ruled that the proposed $100,000 H-1B visa fee was an illegal tax because it had not been approved by Congress.
The appeals court said the Trump administration failed to show that it had the legal authority to introduce such a massive fee increase without congressional approval.
Why Was the Fee Increased?
In September 2025, President Donald Trump signed an order increasing the H-1B visa fee to $100,000.
Before the proposed change, H-1B visa fees generally ranged between $2,000 and $5,000.
The sharp increase sparked concern among businesses and foreign professionals, as it would have made hiring skilled workers from abroad much more expensive.
Why Does This Matter for Indians?
The H-1B visa is widely used by US companies, especially in the technology sector, to hire highly skilled foreign workers.
According to reports, around 80% of H-1B visa holders are Indian professionals.
Because of this, any major change to the program has a direct impact on thousands of Indian workers and students planning careers in the US.
The court’s decision provides temporary relief to applicants and employers who were worried about the steep fee increase.
Why Did the Trump Administration Support the H-1B Fee Hike?
The Trump administration argued that the H-1B program had been misused by some employers.
According to the administration, certain companies were using the visa program to replace American workers with lower-paid foreign employees.
The higher fee was proposed as a way to discourage such practices and reduce alleged misuse of the program.
Understanding the H-1B Visa Program
The United States issues 65,000 H-1B visas each year under the regular quota.
An additional 20,000 visas are reserved for applicants who hold advanced degrees from US institutions.
These visas typically allow professionals to work in the country for three to six years, depending on their employment status.
Final Take
The US appeals court’s decision is an important setback for the Trump administration’s proposed $100,000 H-1B visa fee. For now, the lower court’s order remains in place, preventing the fee hike from taking effect.
The ruling is particularly important for Indian professionals, who form the largest group of H-1B visa holders and would have been among the most affected by the proposed increase.
