The US Department of Homeland Security (DHS) proposed a $103,265 fee targeting H-1B visa holders hired within the United States as of August 2026. This measure follows a federal court ruling in Boston vacating an earlier Trump administration fee of $100,000 applied to H-1B workers entering from abroad, which was blocked for lack of Congressional authorization.
Under the new DHS proposal, the fee would apply to all H-1B visa petitions subject to the annual statutory cap of 85,000 visas, including the 20,000 slots reserved for holders of advanced degrees. Universities, hospitals, and research institutions will be exempt from paying this
fee. The charge would be in addition to any other existing H-1B visa fees and any revived original proclamation fees if upheld by courts.
DHS projects the proposed fee would generate $8.8 billion annually, allocating two-thirds of the revenue to US Citizenship and Immigration Services (USCIS) and the Executive Office for Immigration Review, which oversees immigration courts. The fee revenue is intended to cover costs related to benefit adjudication, fraud detection, national security vetting, and immigration system modernization involving DHS, Labor, State, and Justice departments.
USCIS spokesperson Zach Kahler indicated the fee aims to recoup government expenses tied to lawful
immigration program administration. The US Chamber of Commerce, led by Executive Vice President Neil Bradley, criticized the proposal, warning it would make the H-1B program cost-prohibitive for many American businesses, especially startups and small to midsize companies reliant on H-1B workers. Bradley emphasized the visa program’s role in supporting business expansion, innovation, and job creation.
The original $100,000 fee on H-1B entrants from outside the US was challenged legally by multiple groups including the US Chamber of Commerce. A federal judge in Boston vacated the rule, describing it as an unlawful tax without Congressional consent. The Trump administration’s appeal was
denied by the US Court of Appeals for the First Circuit, which rejected an emergency motion to suspend the ruling. DHS determined that raising fees across all immigration petitions would impose undue burdens on non-employment-related applications. Concurrently, DHS is considering imposing a $100,000 fee on the Optional Practical Training program available to foreign students on F-1 visas.
