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Virginia AG Joins Coalition Opposing Proposed H-1B Visa Tax

U.S. Department of Homeland Security’s Citizenship and Immigration Services (USCIS)September 25, 2026Virginia Attorney General

Summary

Virginia Attorney General Jay Jones joined 22 attorneys general in a comment letter opposing a proposed USCIS rule that would impose a $103,265 tax on certain H-1B petitions. The coalition urged USCIS to withdraw the proposal, arguing it exceeds the agency’s authority, harms state staffing, and violates rulemaking requirements.

Contract Impact

This is not a privacy enforcement action, but employers should review vendor and customer agreements covering recruiting, staffing, and H-1B sponsorship. Check clauses allocating immigration petition costs and government fees, reimbursement or pass-through charges, responsibility for filings by staffing subcontractors, and change-in-law mechanisms in case the proposed fee or related requirements change. Employee offer and immigration-support documents should also clearly state which party is responsible for sponsorship and associated costs.

Contract Search Terms

H-1B petition fee allocationimmigration filing fee reimbursementvisa sponsorship responsibilitystaffing vendor pass-through chargeschange-in-law clausegovernment fee adjustmentsubcontractor staffing compliance

Laws Cited

Immigration and Nationality ActAdministrative Procedure Act

Violation Types

Entity Details

Entity

U.S. Department of Homeland Security’s Citizenship and Immigration Services (USCIS)

Industry

Other

Multistate Coalition

Official Sources

Source Evidence

Entity Name
"U.S. Department of Homeland Security’s Citizenship and Immigration Services (USCIS)"
Event Date
"Published on:** September 25, 2026"
Fine Amount
"would impose a tax of $103,265 on non-cap-exempt employers"
Laws Cited
"under the Immigration and Nationality Act"
Laws Cited
"violates the Administrative Procedure Act"
Violation description
"The proposed rule exceeds USCIS’s legal authority under the Immigration and Nationality Act."

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