US Imposes $100,000 Fee on New H-1B Visa Entrants
The US government introduced a new $100,000 entry fee on H-1B visa holders entering the country after 21 September 2025. This unexpected move has caused concern among Indian tech workers and students, who form the largest group using this visa. The fee applies only to future applicants outside the US and excludes those already holding valid H-1B visas or changing their status within the country. The policy’s details remain unclear, sparking debate among immigration experts and major tech firms.
Scope and Applicability of the Fee
The fee applies exclusively to new H-1B visa applicants outside the US after the effective date. It does not affect visa holders already in the US or those extending or transferring their status domestically. Individuals with valid H-1B stamps travelling abroad and re-entering may face the fee, but this is still uncertain. The fee is reportedly payable each time a person enters the US, not just once.
Impact on Current H-1B Visa Holders
Current visa holders are exempt from this fee for extensions, transfers, or status changes within the US. They can travel without paying the fee if their visa is valid. However, confusion persists about re-entry after international travel. Tech firms like Amazon and Microsoft have advised employees to avoid travel until clarity emerges.
Effect on F-1 Students and New Applicants
F-1 students converting to H-1B status inside the US are not affected by the fee. Conversely, those outside the US selected in the H-1B lottery must pay the $100,000 fee before visa stamping. This policy may discourage Indian companies, which often recruit workers from India or abroad, from sponsoring new hires.
Exemptions and National Interest Clause
The proclamation allows vague exemptions for individuals deemed to serve ‘national interest’. Healthcare workers like physical therapists may qualify, but the criteria remain undefined. This uncertainty complicates planning for affected applicants and employers.
Potential Shift to Other Visa Categories
The high fee may push applicants towards alternatives like the L-1 or O-1 visas. L-1 visas restrict job mobility compared to H-1B but avoid the fee. This shift could alter corporate hiring strategies and affect visa compliance regulations, as employers cannot pass the fee cost to employees.
Implications for the US Tech Industry and Students
The fee threatens to reduce the STEM talent pipeline by discouraging new applicants. Current Optional Practical Training (OPT) students may temporarily benefit from less competition. However, the long-term impact could slow innovation and limit career opportunities for international students.
Legal and Political Context
The proclamation is a presidential order, not legislation, and is subject to legal challenge. It relies on presidential authority over national security and border control. Immigration lawyers expect lawsuits similar to past travel bans. Courts will decide the proclamation’s legality and future enforcement.
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