New York : The Donald Trump administration has clarified exemptions to the controversial $100,000 H-1B visa fee introduced via a presidential proclamation in September. The Trump Administration has issued clarification on who must pay the H-1B fee, payment methods, and exception application processes, along with a big relief for students.
The Proclamation applies to new H-1B petitions filed at or after 12.01 am eastern daylight time on September 21, 2025, on behalf of beneficiaries who are outside the United States and do not have a valid H-1B visa. The Proclamation also applies if a petition filed at or after 12.01 am eastern daylight time on September 21, 2025, requests consular notification, port of entry notification, or pre-flight inspection for an alien in the United States, it added.
The biggest takeaway for employers is that the USCIS has clarified that the fee would not apply to a “change of status”—cases where people change from one category to another without leaving the country, such as moving from F-1 student status to H-1B status. The contentious proclamation, which imposes an H-1B visa fee of nearly Rs 89 lakh, was introduced on September 19.
The proclamation had sown confusion among employers and applicants as the earlier directives left key questions unresolved. Indian students accounted for 27% of all foreign students in the US in 2024, marking an 11.8% increase from the previous year, according to the annual report by the US Immigration and Customs Enforcement (ICE) Student and Exchange Visitor Program (SEVP).
The guidance further notes that employers must pay the fee if USCIS denies an application, deeming the individual ineligible for status change or extension. Other exemptions will be granted by Secretary of Homeland Security Kristi Noem in “extraordinarily rare circumstances”, USCIS said, including if no American worker is able to fill the role, or the immigrant’s employment is in the national interest.
The agency directed that the fee be paid via pay.gov, offering clear guidance to petitioners accustomed to USCIS online payments. The agency also stated that the fee must be paid prior to submitting an H-1B petition, and any filing lacking proof of exemption will be rejected. The clarification came after the US Chamber of Commerce sued the Trump administration over the new H-1B visa application fee, calling it “unlawful and harmful to small and medium-sized businesses.
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