USCIS has clarified that the new $100,000 H-1B fee applies only to new overseas petitions, while existing visa holders inside the US are exempt. The update provides relief for Indian workers and students, ensuring current H-1B holders can continue their stay or change of status without additional costs.

H-1B Visa Fee Update: The United States Citizenship and Immigration Services (USCIS) has issued a clarification on the recently announced $100,000 H-1B visa fee, addressing widespread confusion among employers, visa holders, and students. The fee, signed into law by President Donald Trump on September 20, 2025, sparked concerns over its impact on foreign tech professionals, especially those from India.

What is the $100,000 H-1B Fee?

The Trump administration introduced a $100,000 annual fee on employers sponsoring highly skilled foreign workers under the H-1B visa programme. The fee, approximately ₹90 lakh, is intended to protect American workers and curb alleged misuse of the visa system. It applies to new H-1B petitions filed on or after September 21, 2025 for workers located outside the US.

USCIS Clarification: Who Must Pay and Who Doesn’t

In guidance released on October 20, 2025, USCIS confirmed that existing H-1B visa holders and petitions filed before September 21 are exempt from the fee. Key exemptions include:

-Current H-1B holders applying for renewal, extension, or amendment.

-F-1 student visa holders changing status to H-1B within the US.

-L-1 visa holders applying for H-1B from inside the US.

-Foreign nationals with expired visas using already-approved petitions.

The fee does apply to:

-New H-1B petitions for workers outside the US.

-Cases requesting consular notification or pre-flight inspection for applicants abroad.

Who Pays the Fee?

Employers sponsoring foreign workers from outside the US are responsible for paying the $100,000 fee at the time of petition submission. USCIS has launched a dedicated online portal to process payments. The cost cannot be transferred to visa holders, though industry experts warn it may discourage US companies from hiring skilled international professionals.

Impact on Indian Workers

India is the largest source of H-1B workers, with around 300,000 Indian professionals currently holding visas and accounting for roughly 70% of new H-1B allocations annually. The clarification provides relief for Indian techies and students, as most existing and change-of-status applicants are exempt from the fee.