Tue Oct 21 02:20:00 UTC 2025: USCIS Clarifies Rules for Controversial $100,000 H-1B Visa Fee, Faces Lawsuits
Washington, D.C. – U.S. Citizenship and Immigration Services (USCIS) has released new guidance clarifying aspects of the controversial $100,000 fee imposed on certain H-1B visa applications, effective since September 21, 2025. The fee, stemming from a presidential proclamation, has sparked confusion and legal challenges from the U.S. Chamber of Commerce and other plaintiffs.
The guidance specifies that the fee applies to new H-1B petitions filed for beneficiaries located outside the United States who lack a valid H-1B visa. It clarifies that the fee does not apply to change of status cases where individuals already in the U.S. transition from one visa category (e.g., student visa) to an H-1B visa without leaving the country. This is a relief for employers who were concerned about the fee applying to internal promotions or visa conversions.
However, the guidance also states the fee will apply if USCIS denies an H-1B petition due to ineligibility.
H-1B visas are crucial for U.S. companies seeking to hire highly skilled foreign nationals, particularly in fields like engineering where international students comprise a large portion of the graduate student population. The annual H-1B limit is 65,000, with 20,000 exemptions for individuals holding advanced degrees from U.S. universities.
USCIS also provided instructions for paying the fee through pay.gov.
While the proclamation allowed the possibility of exceptions to the fee in cases deemed in the national interest, the USCIS guidance paints a less optimistic picture. It emphasizes that exceptions will be “extraordinarily rare” and require demonstrating that the worker’s presence is in the national interest, that no American worker is available, the worker poses no security threat, and that requiring the fee would significantly undermine U.S. interests. Employers can request an exception by emailing H1BExceptions@hq.dhs.gov, but must include considerable supporting evidence.
The USCIS guidance is unlikely to quell employer concerns about the $100,000 fee, given the narrow scope of the exceptions and the potential financial burden. The U.S. Chamber of Commerce filed a lawsuit against the new fee on October 16, 2025.