Trump Administration Clarifies $100,000 H-1B Fee: Applies Only to New Petitions, Not Existing Holders

BN Web Desk

New York/Washington, Sept 20: The Donald Trump administration has issued an important clarification on its controversial decision to impose a USD 100,000 fee on H-1B visas, bringing relief to thousands of Indian professionals working in the United States. The White House and the US Citizenship and Immigration Services (USCIS) confirmed on Saturday that the new rule will only apply to new petitions filed after the proclamation date of September 21, 2025, and will not affect existing visa holders or renewals.

The clarification came after panic gripped Indian H-1B visa holders, with many fearing the exorbitant fee would be imposed annually or even applied retroactively. Several had already cancelled travel plans or scrambled to return to the US before the new law came into effect.

USCIS Director Joseph Edlow, in a memorandum, stated that the proclamation—titled “Restriction on Entry of Certain Nonimmigrant Workers”—is prospective in nature, applying only to petitions yet to be filed. “Individuals with validly issued H-1B visas or those who are beneficiaries of petitions filed before the proclamation’s effective date will not be impacted,” the memo clarified. Officers across USCIS have been directed to ensure decisions remain consistent with this guidance.

White House Spokesperson Taylor Rogers emphasized that the measure was designed to protect American jobs and wages. “President Trump promised to put American workers first, and this commonsense action discourages misuse of the H-1B system while still allowing businesses to hire top global talent,” she said.

Echoing the same, White House Press Secretary Karoline Leavitt wrote on X: “To be clear, the $100,000 is a one-time fee tied only to the petition. It is not annual, does not apply to renewals, and does not apply to current visa holders. Those already holding H-1Bs outside the US will also not pay to re-enter.”

The clarification directly contradicted earlier remarks by Commerce Secretary Howard Lutnick, who had suggested the charge could be applied annually for up to six years, sparking widespread confusion. Immigration attorneys described those hours of uncertainty as “chaotic,” with firms rushing to assess risks for employees and families abroad.

For Indian professionals, the announcement is a temporary relief. Cyrus Mehta, a prominent New York-based immigration attorney, warned that the timing had left many stranded. “H-1Bs in India may already have missed the deadline, as direct flights couldn’t get them into the US before the proclamation,” he said.

India has one of the largest shares of H-1B visa beneficiaries, with IT professionals forming the backbone of America’s tech sector workforce. Under existing law, the US issues 65,000 H-1B visas annually, with an additional 20,000 reserved for advanced-degree holders from American universities. At present, the total cost of securing an H-1B visa, depending on employer size and legal fees, ranges between USD 2,000 and USD 5,000—a fraction of the new petition fee.

The proclamation is expected to take effect from the next H-1B lottery cycle in March 2026, leaving many aspiring applicants uncertain about the affordability of working in the United States. While Washington insists the rule ensures only “highly valuable workers” enter the country, critics argue it risks undermining America’s competitiveness in technology and research sectors.

For now, however, the clarification that existing visa holders and renewals will not be affected has eased fears within the Indian diaspora, even as debates continue about the long-term implications of Trump’s immigration policies.

Not Existing Holders
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