Trump Administration Imposes $100,000 Fee on New H-1B Visa Petitions Starting September 2025

Many U.S. employers and H-1B workers panicked when the Trump administration issued a proclamation on September 19, 2025, that appeared to require a $100,000 payment for a noncitizen to enter the United States with an H-1B visa after 12:01 am Eastern Time on September 21.

The recent proclamation and subsequent guidance issued by U.S. Citizenship and Immigration Services (USCIS) have introduced a $100,000 fee for certain H-1B visa applications, affecting U.S. employers and skilled foreign workers. The measure, announced by the Trump administration, aims to curb abuse of the H-1B program and encourage the hiring of American workers, but it has raised significant concerns and led to legal challenges regarding its scope, implementation, and legality.

Key points:

• The $100,000 fee applies only to new H-1B petitions filed on or after September 21, 2025, for beneficiaries outside the U.S. without a valid H-1B visa.

• The fee is required before filing an H-1B petition via pay.gov, with proof of payment or exception evidence submitted to USCIS to prevent denial.

• Extensions of stay, amendments, and change of status petitions filed while the beneficiary is in the U.S. are exempt from the fee.

• The Department of Homeland Security (DHS) has limited the national interest exception process to individual determinations under restrictive criteria.

• Two lawsuits have been filed challenging the proclamation’s legality, arguing the president lacks authority to impose such fees.

Background and Immediate Reaction to the Proclamation

On September 19, 2025, the Trump administration issued a proclamation requiring a $100,000 fee for noncitizens entering the U.S. on H-1B visas after 12:01 am Eastern Time on September 21. This announcement caused widespread confusion and panic among employers and H-1B visa holders, as it seemed to impose a new financial burden on hiring skilled foreign workers.

Within 24 hours, the administration clarified that the fee would apply only prospectively to petitions filed after the deadline. Nevertheless, ambiguity persisted as the White House and immigration agencies sent inconsistent messages about who exactly would be affected.

USCIS Implementation Guidance

On October 20, 2025, USCIS provided detailed guidance clarifying how it would implement the proclamation:

• The $100,000 fee must be paid through pay.gov before a U.S. employer files an H-1B petition.

• Employers must submit either proof of payment or documentation of an exception; otherwise, USCIS will deny the petition.

USCIS confirmed several exemptions:

• Petitions filed before September 21, 2025, are exempt, allowing beneficiaries to obtain or maintain H-1B status without the fee.

• Previously issued and currently valid H-1B visas are also exempt.

USCIS further clarified scenarios triggering the fee:

• Petitions filed on or after the deadline require payment if the beneficiary is outside the U.S. and lacks a valid H-1B visa.

• Payment is also required if the beneficiary is inside the U.S. but the petition requests consular or port of entry notification.

• No fee applies to petitions for extension of stay, amendments, or changes of status filed while the beneficiary is present in the U.S.

USCIS noted complications where petitions requesting amendments or extensions are denied, potentially triggering the fee if the beneficiary leaves the U.S. before adjudication. Several questions remain unresolved, such as:

• How payment will be requested in case of petition denial.

• The rationale for fee imposition when amendments are denied but the beneficiary remains employed in the U.S.

• Handling of cases where consular notification sections were not completed on petitions.

National Interest Exception Restrictions

While the presidential proclamation grants the DHS Secretary authority to exempt individuals or categories of H-1B workers if their employment is in the national interest and does not threaten security, USCIS has adopted a much narrower interpretation in practice. It characterizes the national interest exception as “extraordinarily rare,” requiring the following criteria:

• The individual's presence is in the national interest.

• No qualified American worker is available for the role.

• The individual poses no threat to national security or welfare.

• The fee’s imposition would significantly harm U.S. interests.

Employers must submit requests for such exceptions with substantial supporting evidence via a dedicated DHS email address before filing the H-1B petition. Without this, petitions subject to the fee are denied.

This restrictive approach may discourage employers from pursuing H-1B petitions, limiting access for workers who might benefit key sectors.

Legal Challenges to the Proclamation

Two lawsuits have been filed to contest the $100,000 fee-related proclamation:

1. Global Nurse Force v. Trump: Filed in the Northern District of California, this case represents a diverse group, including unions involved in medical residency training and missionary organizations dependent on H-1B religious worker visas.

2. Chamber of Commerce v. U.S. Department of Homeland Security: Filed in the District of Columbia by the Chamber of Commerce and the Association of American Universities (AAU) on behalf of business and educational members. They moved for a court order to halt enforcement of the proclamation pending litigation or to have it declared unlawful.

Plaintiffs argue the president lacks authority to impose new conditions or fees on the H-1B program, which Congress created and regulates. They contend the fee amounts to an unlawful tax and that agency implementation of the proclamation exceeds legal bounds.

Economic and Practical Implications

The proclamation’s structure, linking the fee to the filing of an H-1B petition, does not align with its stated goal of restricting entry, as USCIS approval does not guarantee admission to the U.S., which is handled by consular officers and Customs and Border Protection.

Many economists forecast mixed impacts: while there may be a short-term benefit for some American technology workers as firms reduce reliance on foreign labor due to cost, studies such as the 2024 IZA Institute of Labor Economics report suggest H-1B workers generally increase net employment and economic growth by facilitating business expansion and additional domestic hiring.

Employers compliant with existing H-1B regulations might face substantial challenges maintaining or expanding their foreign workforce because of the new fee.

Additional USCIS Guidance and Fee Payment Procedures

USCIS has emphasized that the $100,000 fee functions essentially as a labor import tariff, applicable only for bringing foreign nationals into the U.S. under new H-1B petitions filed post-deadline.

• Change of status or extension requests for beneficiaries already in the U.S., including former F-1 students and H-4 Employment Authorization Card holders, do not incur the fee.

• H-1B workers transferring employers face potential fee triggers, especially if unemployed beyond the 60-day grace period following job loss, as they may be required to seek visas abroad and pay the fee.

• Employers should ensure prospective H-1B employees are currently employed or have been unemployed no longer than 45 days before filing petition to avoid fee complications.

• International travel by H-1B workers with pending change or extension of status petitions may cause USCIS to convert their applications to consular processing, thereby triggering the fee.

USCIS has developed an online portal for fee payment and requires proof or exception evidence at petition filing to avoid denial.

Changes to Employment Authorization Document (EAD) Extensions

In a related policy shift, the Department of Homeland Security announced an interim final rule ending automatic extensions of Employment Authorization Documents (EAD) for aliens filing renewal applications starting October 30, 2025.

The rule increases vetting frequency to better identify fraud or security threats and emphasizes that work authorization in the U.S. is a privilege.

Aliens are advised to file renewals up to 180 days before EAD expiration to avoid lapses. Exceptions exist for certain protected groups, but the policy underscores stricter scrutiny and security priorities in immigration employment authorization.

Conclusion

The Trump administration's $100,000 fee for H-1B visa petitions marks a significant shift in immigration and labor policy, aiming to protect U.S. workers but raising legal, practical, and economic questions. The proclamation's narrow exceptions, complex implementation, pending lawsuits, and potential chilling effect on employment of foreign talent highlight the ongoing tensions and challenges in balancing immigration, labor market needs, and national security considerations in the U.S.