Office of the
Illinois Attorney General
Kwame Raoul

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ATTORNEY GENERAL RAOUL SECURES FINAL JUDGMENT IN LAWSUIT CHALLENGING TRUMP ADMINISTRATION’S UNLAWFUL $100K TAX FOR H-1B VISAS

June 08, 2026

Chicago – Attorney General Kwame Raoul today applauded a final ruling from the U.S. District Court of Massachusetts vacating the Trump administration’s unlawful policy of imposing a $100,000 tax payment on new H-1B visa petitions to allow highly skilled foreign workers to temporarily fill positions in specialty professions and occupations in Illinois and nationwide. 

H-1B visas allow U.S. employers to hire highly skilled foreign national workers in roles that require specialized skills, which alleviates nationwide labor shortages. From the start of the program, Congress has ensured employers can meet vital labor needs in fields including healthcare and education, while protecting the interest of American workers to ensure they are not wrongfully displaced. On Sept. 9, 2025, President Trump issued a proclamation ordering an unprecedented $100,000 tax on these critical visas, upending this long-standing program. The president’s tax created a costly barrier for employers, weakened the economy and disrupted essential services, especially for government employers trying to fill these positions. 

“This significant win for Illinois residents and employers will ensure that the Trump administration’s devastating $100,000 visa fee will not threaten the quality of education, healthcare and other core services available in Illinois and across the country,” Raoul said. “This judgement will continue to allow the H-1B visa program to alleviate nationwide labor shortages in vital fields including teaching, healthcare and research.” 

In December, Raoul joined a coalition of 23 attorneys general in filing a lawsuit opposing the unprecedented $100,000 fee implemented by the Department of Homeland Security (DHS), which undermined the purpose of the H-1B program by making it harder to address severe labor shortages in critical fields. 

Raoul and the coalition argued in their complaint that DHS’ policy violated the law because it charged an additional, unwarranted fee contrary to Congress’ intent when establishing H-1B visas to temporarily fill positions in specialty occupations. Additionally, the lawsuit explained the fee bypassed required rulemaking procedures and exceeded the authority granted to the executive branch under the Administrative Procedure Act (APA). 

As implemented by DHS through a series of written documents, the policy affected any application filed after Sept. 21, 2025, and granted the secretary of DHS broad discretion to determine which petitions are subject to the fee or for an exemption, which raised concerns that the enforcement could be applied selectively against employers disfavored by the Trump administration.  

Some Illinois schools rely on the H-1B program to hire specialized staff for difficult to fill positions, including bilingual teachers, special education teachers, and bilingual speech-language pathologists.   

The lawsuit explained that rising H-1B visa costs are disrupting international recruitment to address staffing needs. In Illinois’ 2023-2024 school year, 3,684 teaching positions remained unfilled. 

Joining Raoul in filing the lawsuit were the attorneys general of Arizona, California, Colorado, Connecticut, Delaware, Hawaii, Illinois, Maryland, Massachusetts, Michigan, Minnesota, North Carolina, New Jersey, New York, Oregon, Rhode Island, Vermont, Washington and Wisconsin.