US exempts current H-1B holders from $100k fee
New rules state F-1 visa holders switching to H-1B won’t face the $100,000 fee, easing transition costs significantly.
Washington, D.C.: In a move that has brought major relief to thousands of foreign workers and their families, especially those from India, the United States Department of Homeland Security (DHS) has issued a clarification on the controversial $100,000 H-1B visa application fee, confirming that it will not apply to current H-1B holders or those already living and working in the U.S.
The announcement followed days of confusion, panic, and speculation among skilled professionals and tech workers, many of whom feared that the new rule could disrupt their careers and futures in America. The initial proclamation—introduced by the Trump administration on September 19—sparked widespread uncertainty after it appeared to suggest that all H-1B visa holders, including those already in the U.S., might be forced to pay the massive fee or face travel restrictions.
However, the new DHS guidance, released late Monday, brought clarity and calm. According to the updated rules, workers switching to H-1B status from other visa categories such as F-1 student visas will not be required to pay the $100,000 fee. Likewise, H-1B holders applying for amendments, extensions, or changes of status within the United States are also exempt.
In simpler terms, the fee only applies to new visa petitions filed from outside the U.S. by applicants who do not currently hold a valid H-1B visa. Those already in the country, whether they are continuing their employment, changing employers, or extending their status, will not have to bear this extraordinary financial burden.
To make the process smoother, the DHS has also introduced an online payment system for those who do fall under the new category—mainly new applicants abroad.
The clarification came just two days after the U.S. Chamber of Commerce, the nation’s most powerful business organization, filed a lawsuit against the Trump administration, calling the $100,000 H-1B fee “unlawful, unreasonable, and economically damaging.” In its filing, the Chamber argued that the rule was “plainly unlawful” and accused the administration of undermining American businesses’ ability to hire the skilled talent they need. It also described the fee as a “gift to America’s economic rivals,” warning that it would push skilled workers and major tech firms to relocate jobs overseas.
The White House responded swiftly to the growing backlash. In a clarification issued to IANS on September 20, officials emphasized that the $100,000 fee is a “one-time payment” applicable only to new visa applications, and not to renewals or existing holders. This statement has helped ease concerns among the hundreds of thousands of H-1B professionals already working in the U.S., many of whom had been left anxious about their legal status and travel plans.
For Indian nationals—who make up the vast majority of H-1B recipients, accounting for over 70% of all approved petitions in 2024—this update brings a sense of relief after weeks of uncertainty. India has long been a cornerstone of America’s high-skilled immigration system, supplying engineers, software developers, data scientists, and healthcare professionals to some of the country’s largest employers, including Google, Microsoft, Amazon, and Apple.
In recent years, however, the H-1B program has been caught in the crossfire of U.S. political debates over immigration and job security. Critics of the program argue that it allows companies to undercut American workers, while supporters stress that it fills crucial skill gaps in industries like technology, healthcare, and research.
For many Indian workers, an H-1B visa represents not just a job opportunity, but a life-changing gateway to stability and success in the United States. The $100,000 fee had threatened to make that dream nearly impossible for new applicants from middle-class backgrounds, effectively restricting the visa to only the wealthy or company-sponsored elites.
The DHS clarification has thus been welcomed as a common-sense step that restores balance and fairness to the system. Immigration experts and advocates have praised the government for listening to stakeholders and acting quickly to prevent widespread disruption.
“This is a huge relief for thousands of H-1B professionals and their employers,” said an immigration attorney based in San Jose, who has represented tech workers for over a decade. “The initial proclamation created chaos, but the new clarification restores confidence in the process. It’s still a large fee for new applicants, but at least it won’t punish those who are already contributing to the U.S. economy.”
For now, the clarification means that H-1B professionals can breathe easier. They can continue working, traveling, and renewing their visas without facing the staggering $100,000 payment that once loomed over them. But the broader conversation about immigration reform, fairness, and America’s dependence on global talent is far from over.
As the debate continues, one thing is clear: the H-1B community remains a vital part of the American workforce, driving innovation, supporting businesses, and strengthening ties between the U.S. and India. And for thousands of skilled workers, this new clarification isn’t just about policy—it’s about peace of mind and the chance to continue building their American dream.