The proposed H-1B visa fee would have significantly increased costs for employers and applicants. The court ruling is expected to benefit Indian professionals, who account for nearly 70% of approved H-1B work visas.

A United States federal court has struck down former President Donald Trump’s proposal to impose a $100,000 fee on H-1B visa applications, delivering a significant legal setback to the administration’s immigration agenda and offering relief to thousands of Indian professionals seeking employment opportunities in the country.

In a ruling issued on Monday, US District Judge Leo Sorokin held that the President did not possess the legal authority to introduce such a fee without approval from Congress. The decision effectively blocks a measure that would have dramatically increased the cost of hiring foreign skilled workers under the H-1B visa programme.

Court Questions Presidential Authority

In his 42-page judgment, Judge Sorokin concluded that the proposed fee amounted to a tax rather than a routine administrative charge. Under the US Constitution, the power to levy taxes rests with Congress unless lawmakers specifically delegate such authority.

The court found no provision in existing immigration laws that would allow the executive branch to unilaterally impose a fee of this magnitude on H-1B petitions.

“The President had no power or delegated authority to impose a tax on H-1B petitions,” the judge stated while rejecting the administration’s interpretation of federal immigration statutes.

The ruling reinforces the limits of presidential authority in matters involving taxation and immigration policy, areas where congressional approval remains central.

Legal Challenge by States

The lawsuit was filed in December by a coalition of Democratic attorneys general led by New York Attorney General Letitia James. The states argued that the administration had exceeded its powers by creating a substantial financial burden on employers and foreign workers without legislative backing.

According to court filings, the states contended that immigration policy changes of such scale require congressional action rather than executive orders or administrative directives.

Judge Sorokin largely agreed with that position, dismissing arguments that existing immigration laws granted broad enough powers to support the fee proposal.

Trump Criticises Court Decision

Reacting to the ruling, Trump criticised federal judges and accused the judiciary of obstructing his policy agenda.

“These federal judges are really giving us a hard time. It's really crazy what's going on with the court system. They're hurting our country very badly,” he said.

The administration had defended the proposal as part of broader efforts to reduce what it described as excessive dependence on foreign labour and to prioritise American workers.

Impact on Indian Professionals

The decision is particularly significant for Indian nationals, who remain the largest beneficiaries of the H-1B visa system.

Data from Pew Research shows that approximately 73% of approved H-1B applications in fiscal year 2023 were granted to workers born in India. Indian professionals have consistently received the majority of H-1B approvals for more than a decade, particularly in technology, engineering, finance and healthcare sectors.

Industry observers noted that the proposed $100,000 fee could have discouraged employers from sponsoring foreign workers and potentially reduced opportunities for skilled professionals seeking jobs in the United States.

The ruling removes that uncertainty, at least for now, and preserves the existing framework under which employers can continue filing H-1B petitions.

Why H-1B Matters

The H-1B visa programme allows US companies to hire foreign workers in specialised occupations that generally require a bachelor’s degree or higher qualification.

The visa is typically granted for an initial period of three years and can be extended for another three years. Major technology companies, healthcare providers and engineering firms rely heavily on the programme to fill specialised positions.

Economists and business groups have long argued that access to global talent helps companies remain competitive and supports innovation across industries.

What Happens Next

While the ruling blocks the proposed fee, it does not end the broader debate surrounding the H-1B programme. Immigration policy remains a politically contentious issue in the United States, and future administrations could pursue legislative changes through Congress.

For now, however, the court’s decision ensures that employers and skilled foreign workers, particularly Indian professionals, will not face the proposed $100,000 H-1B visa fee. The judgment also serves as a reminder that major changes involving immigration-related taxation require clear congressional authorisation before they can take effect.

Over 15,000 H-1B visa holders from India left scrambling as 60-day job search clock ticks down

More than 15,000 Indian tech professionals in the United States are staring at an uncertain future after losing their jobs during the latest round of layoffs sweeping America's technology sector.

Most of these workers were on H-1B visas and now have exactly 60 days to find new employment or face deportation proceedings.

60-Day Window Creates Pressure

Under current US visa regulations, H-1B workers who lose their jobs must secure a new employer within two months to maintain legal status. Fail to find a sponsor in that window, and they have no choice but to leave the country.

Major tech firms including Meta, Amazon, and Oracle have let go of roughly 50,000 employees in recent months. Industry estimates suggest Indian nationals account for more than 15,000 of those affected.

Hiring Slowdown Adds to Crisis

What is making things worse this time around? The job market has shifted significantly.

Earlier, laid-off tech workers could expect to land new roles within weeks. But affected employees now report that hiring processes have stretched to months. Companies, meanwhile, have grown increasingly reluctant to take on visa sponsorship responsibilities.

The stricter immigration posture under the Trump administration has only deepened the uncertainty. Lower visa quotas, tighter document scrutiny, and stricter compliance checks have become the new normal.

Green Card Rules Tightened

The administration has also quietly tightened Green Card procedures. Applicants may now need to return to their home country to complete the process rather than using the "Adjustment of Status" route while remaining in the US.

For Indian professionals on temporary visas like H-1B, this change could prove particularly disruptive.

Government data shows nearly 4.99 million Green Cards were issued over the past five years. Of these, around 2.93 million went to applicants already living in the US, while 2.06 million were granted to people applying from abroad. Between 2014 and 2023, approximately 726,000 Indians received Green Cards.

Massive Backlog for Indians

The numbers reveal a stark reality. Indians now account for the largest share of the employment-based Green Card backlog in America.

According to the Cato Institute, Indian nationals make up roughly 1.1 million of the 1.8 million pending employment-based Green Card cases — about 63 per cent. For new applicants from India, the waiting period has already stretched to an estimated 10 to 15 years.

Families Under Strain

Seattle-based engineer Vikas Pathak told reporters he has applied for more than 150 positions since being laid off. But companies are taking months to complete their hiring processes, leaving workers like him vulnerable to the unforgiving 60-day visa deadline.

Bijayant Singh, originally from Bihar and now living in San Francisco, said many Indian families are living under immense strain despite appearing calm outwardly.

Concerns over children's schooling, home loan payments, and dependent visas have created quiet panic among affected households, he added. Many are now preparing backup plans in case they are forced to pack up and return to India.

JD Vance Warns of H-1B ‘Fraud’, Calls for ‘America First’ Identity

US VP emphasizes national loyalty as India-China nationals dominate 80% of visa pool; administration tightens screening rules.

United States Vice President JD Vance has flagged significant concerns regarding "widespread fraud" within the H-1B visa program, while simultaneously balancing the critique with praise for immigrants who have contributed to the American economy. Speaking at a Turning Point USA event at the University of Georgia on Tuesday, Vance asserted that the specialized work visa system only remains sustainable when beneficiaries prioritize their American identity over their country of origin.

"On one hand, there is a lot of fraud in the H-1B system, and on the other, there are people who came in and enriched the country, like my in-laws," Vance said, referencing his wife Usha Vance’s parents. He noted that while legal immigration has historically bolstered the US, new citizens bear an "obligation" to think of the American national interest first.

Massive crackdown on visa misuse

The remarks come amid an intensified crackdown by the Trump administration on legal immigration pathways. Describing H-1B abuse as a "national security threat," the White House recently implemented a staggering $100,000 fee for new H-1B visa petitions filed for beneficiaries currently outside the United States.

The move has sent shockwaves through the Indian tech corridor, as Indian professionals consistently make up the lion's share of the H-1B pool. According to recent government data, Indian and Chinese nationals account for over 80% of all H-1B recipients, a statistic the administration is now using to justify stricter oversight and "America First" hiring mandates.

Impact on the domestic workforce

The administration has cited several corporate case studies to argue that the current system disadvantages domestic talent. Officials pointed to Microsoft, claiming over 16,000 employees were displaced following the approval of 9,000 H-1B visas in 2025. Similar claims were made regarding FedEx, where the use of the program allegedly contributed to the shuttering of over 100 facilities across the US.

"The system works only when everyone thinks of themselves as Americans," Vance reiterated, contrasting his father-in-law's integration with other instances where immigrants allegedly prioritized the interests of their home countries. He cited a specific anecdote involving a Ukrainian-American constituent to emphasize that US citizenship must mean putting America's needs above all others.

Transition to salary-driven selection

In a major structural shift, the US Citizenship and Immigration Services (USCIS) has officially moved away from the traditional random lottery. Starting this April, a salary-driven selection process has been implemented to favor higher-paid, highly-skilled professionals over entry-level workers.

Under the new wage-weighted system:

• Level 4 candidates (highest paid) receive four entries in the selection pool.

• Level 1 candidates (entry-level) are restricted to a single entry.

• Employers must now provide granular, job-specific data to justify foreign hires over local candidates.

Enhanced screening and vetting

Beyond financial hurdles, the US State Department has introduced mandatory social media vetting for H-1B and H-4 visa applicants. Applicants are now required to provide social media handles, which are scrutinized as part of a "continuous improvement" of security procedures.

Sources indicated that this digital vetting aims to identify potential security risks or inconsistencies in an applicant’s background. The administration maintains these measures are necessary to ensure the program serves its original purpose of bringing in "extraordinary talent" rather than simply providing low-cost labor for large corporations.

Future outlook for professionals

As the 2026 cap season begins, the landscape for Indian professionals appears increasingly restrictive. With the $100,000 fee and the new wage-based lottery, industry experts predict a sharp decline in registrations from outsourcing firms, shifting the focus toward "super-specialists" and senior executives.

While the administration insists these changes protect the American worker, critics argue they could stifle innovation by making it prohibitively expensive to attract global talent. For thousands of Indian engineers and doctors, the "American Dream" now comes with a much higher price tag and a mandatory pledge of absolute national loyalty.