Trump Devises New $100,000 H-1B Visa Fee

The Trump administration is proposing a new H-1B visa fee of $103,265, targeting individuals already hired within the U.S. and those subject to the annual statutory cap. This proposal follows a court blocking an earlier $100,000 entry fee for workers outside the country. The new fee would be added on top of any existing H-1B fees.

The U.S. Department of Homeland Security (DHS) states the fee aims to cover costs associated with overseeing the U.S. immigration system across DHS, the Departments of Labor, State, and Justice. It would fund benefit adjudications, fraud detection, national security vetting, and system modernization. USCIS and the Executive Office for Immigration Review are slated to receive two-thirds of the revenue.

This proposed fee is expected to generate $8.8 billion annually from cap-subject H-1B workers. The U.S. Chamber of Commerce, which challenged the previous fee, expressed concern that the new proposal would make the program prohibitively expensive for many U.S. employers, especially small and mid-sized businesses and startups. They argue the program is crucial for company expansion, innovation, and job creation.

The H-1B program is capped at 85,000 visas annually, with 20,000 reserved for advanced degree holders. Demand for these visas consistently surpasses availability, especially in technology and engineering. While the initial proclamation applied to new hires from universities, hospitals, and research institutions, these entities would be exempt under the new proposal. The Trump administration is also reportedly considering a $100,000 charge for participation in Optional Practical Training for foreign students.

This new fee differs from previous H-1B fees, which typically ranged from $2,000 to $5,000 before Trump's earlier order. Although a federal judge vacated the initial entry fee, finding it an unlawful tax, the administration appealed that decision. The proposed rule was posted in the Federal Register and includes a 30-day public comment period, with potential finalization by year-end.