Protein-tyrosine phosphatases (PTPases) play key roles in regulating tyrosine phosphorylation levels in cells, yet the identity of their substrates remains limited. We report here on the identification of PTPases capable of dephosphorylating the phosphorylated immune tyrosine-based activation motifs present in the T cell receptor subunit. To characterize these PTPases, we purified enzyme activities directed against the phosphorylated T cell receptor subunit by a combination of anion and cation chromatography procedures. A novel ELISA-based PTPase assay was developed to rapidly screen protein fractions for enzyme activity following the various chromatography steps. We present data that SHP-1 and PTPH1 are present in highly enriched protein fractions that exhibit PTPase activities toward a tyrosine-phosphorylated TCR substrate (specific activity ranging from 0.23 to 40 pmol/min/g). We also used a protein-tyrosine phosphatase substrate-trapping library comprising the catalytic domains of 47 distinct protein-tyrosine phosphatases, representing almost all the tyrosine phosphatases identified in the human genome. PTPH1 was the predominant phosphatase capable of complexing phospho-. Subsequent transfection assays indicated that SHP-1 and PTPH1 are the two principal PTPases capable of regulating the phosphorylation state of the TCR ITAMs, with PTPH1 directly dephosphorylating . This is the first reported demonstration that PTPH1 is a candidate PTPase capable of interacting with and dephosphorylating TCR .The T and B cell antigen receptors contain multiple copies of an immune tyrosine-based activation motif (ITAMs), 1 which initiate intracellular signals by coupling to several families of protein-tyrosine kinases (PTKs) (1). The activation of this pathway following receptor-ligand interactions results in a transient accumulation of tyrosine-phosphorylated proteins, leading to the induction of cellular effector functions (2, 3). Following TCR engagement, two tyrosine residues within each ITAM are specifically phosphorylated by the Src family of PTKs (2, 4). Once bi-phosphorylated, the ITAMs serve as high affinity binding sites for the ZAP-70/Syk family of PTKs, with each of two Src homology 2 (SH2) domains of Syk/ZAP-70 binding to one of the two phospho-tyrosine sequences (5, 6). The ␣ T cell receptor (TCR) complex actually comprises up to ten ITAMs that are distributed among the TCR and CD3 ␥, ␦, and ⑀ subunits (3). The presence of ten ITAMs is proposed to support signal amplification and/or signal bifurcation (reviewed in Refs. 3 and 4). 6 of 10 ITAMs in the TCR complex are localized in the TCR homodimer (three per chain), facilitating the recruitment of multiple ZAP-70 molecules following ITAM phosphorylations (3,7,8). There are two predominant tyrosinephosphorylated forms of that migrate with distinct molecular masses of 21 and 23 kDa, and their differential induction are linked to multiple critical biological functions for T cells (3, 8) (reviewed in Refs. 3,4,and 9).It is well established that intracellular protei...