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Trump admin has the right to impose $100,000 fee on H-1B visas, confirms Federal court

The U.S. district court judge's ruling comes ahead of a verdict on tariffs by the Supreme Court.
PUBLISHED DEC 25, 2025
U.S. President Donald Trump in the Oval Office (Cover image source: Getty Images/Photo by Andrew Harnik)
U.S. President Donald Trump in the Oval Office (Cover image source: Getty Images/Photo by Andrew Harnik)

President Donald Trump's policies regarding tariffs and immigration have not just faced criticism but have also been challenged in court. As people and businesses await the verdict on his tariffs, a U.S. federal judge has rejected a lawsuit from the U.S. Chamber of Commerce that argued against the president's authority to impose a $100,000 fee on H-1B visas. Washington D.C. District Judge Beryl Howell ruled that Congress gave the administration the authority to impose "any restrictions he may deem to be appropriate" on the entry of "aliens". The chamber had argued that the move would hurt both immigrant workers and American businesses as well. The trial marked the first test for the policy, and it's a win for the White House, which faces additional legal challenges in two other courts, according to Politico

Chief U.S. District Judge for the District of Columbia Beryl A. Howell (Image source: Getty Images/Photo by Alex Wong)
Chief U.S. District Judge for the District of Columbia Beryl A. Howell (Image source: Getty Images/Photo by Alex Wong)

District Judge Howell stated that the president's decision in September to impose the $100,000 fee on the government for H-1B visas was within the power that Congress delegated to the executive branch under immigration law. “The lawfulness of the Proclamation and its implementation rests on a straightforward reading of congressional statutes giving the President broad authority to regulate entry into the United States for immigrants and nonimmigrants alike,” Howell wrote in a 56-page decision. She added that she was compelled to rule in favor of the Trump administration due to the way Congress had written two parts of the Immigration and Nationality Act. "Congress could have, but did not, impose the limit on presidential authority that plaintiffs urge," Howell added.

The Chamber, which represents 300,000 businesses, and the Association of American Universities, which advocates for 69 research-based institutions, have brought a lawsuit in a D.C. court against the Trump administration, arguing that the fee contradicts the congressional intent behind the H-1B visas. The H-1B visa program is reserved for high-skilled workers employed.

Representative illustration of an H -1B visa application (Image source: Getty Images/Photo by Christan Storto Fotografia)
Representative illustration of an H -1B visa application (Image source: Getty Images/Photo by Christan Storto Fotografia)

The $100,000 fee was imposed as part of a broader strategy to favor U.S. citizens over foreign workers. When the move was announced, it caught employers in the Silicon Valley off guard because the H-1B visa program had been a vital labor supply for the tech industry. As per Politico, companies have to scramble to send out communications for their workers and lobby with officials to get exemptions. Critics have also argued that the move will hurt other industries, including rural healthcare providers.

Building Entrance and signboard of Chamber of commerce (Image source: Getty Images/Photo by Westy72)
Building Entrance and signboard of Chamber of commerce (Image source: Getty Images/Photo by Westy72)

“The $100,000 fee makes H-1B visas cost-prohibitive for businesses, especially small- and medium-sized businesses that can least afford it,” Daryl Joseffer, executive vice president and chief counsel of the Chamber of Commerce, said in a statement on Wednesday. Josseffer added that the chamber was disappointed in the court's decision, and the move will hurt the ability of American businesses to access the global talent pool.

More on Market Realist:

US economy defies expectations with a surge in third quarter — a big win for Trump?

President Trump's image takes a major hit as America is jolted by economic headwinds

Trump admin announces 'big plan' for Americans who feel it is expensive to buy a home now

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