US Eases $1,00,000 H-1B Visa Fee Rule; Exempts Existing Holders And Status Changes

In a significant development for foreign professionals, the US Department of Homeland Security (DHS) has clarified that the proposed $1,00,000 H-1B visa application fee will not apply to most current visa holders or those already living and working in the United States.

According to the new guidance, individuals shifting to H-1B status from other visa categories, such as F-1 student visas, will be exempt from paying the steep fee.

The DHS also confirmed that those applying for extensions, amendments, or status changes within the US will not be affected.

The new rule targets only fresh applications filed by individuals outside the country who do not already possess a valid H-1B visa.

The department has also set up an online platform to facilitate payments for new petitions.

The clarification came just two days after the US Chamber of Commerce filed a lawsuit against the Trump administration, describing the policy as ‘unlawful’ and warning that it would severely harm American businesses by increasing labour costs and reducing access to skilled foreign workers.

Second Lawsuit Over H-1B Programme

The legal challenge, filed in Washington’s district court, claimed that the fee could push companies to cut hiring or relocate operations overseas, calling the measure a ‘boon for America’s economic competitors’.

It was the second major lawsuit over the H-1B programme this month, following one by labour unions, educators, and faith-based organisations.

US President Donald Trump, who signed the proclamation on September 19, argued that the move would encourage companies to prioritise American workers.

However, the announcement sparked widespread confusion among visa holders, many of whom feared travel restrictions and uncertainty about re-entry.

The White House later clarified that the $1,00,000 charge is a one-time fee applicable only to new visa applicants outside the US and does not affect existing holders or renewals.

Indian nationals continue to dominate the H-1B category, accounting for more than 70 per cent of approved visas in 2024, a reflection of both the backlog in processing and the large number of highly skilled professionals from India working in the US technology and service sectors.

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