US Department of Homeland Security Proposes Additional $103,265 Fee for H-1B Visas

The United States Department of Homeland Security (DHS) has proposed an additional fee of USD 103,265 for all H-1B visa cap-subject applications. The proposed charge includes petitions filed by applicants who are eligible for the advanced degree exemption, commonly known as the master’s cap.

Under current regulations, the US Congress limits the H-1B visa programme to 65,000 visas annually under the regular cap. An additional 20,000 visas are available for foreign workers who hold a master's degree or higher from a US institution.

According to a notice published in the Federal Register, the DHS plans to implement the USD 103,265 amount as a separate, additional H-1B fee rather than combining it with existing petition fees. The standalone structure is intended to facilitate tracking, allocation, and reporting of the associated revenue.

The DHS estimates that the proposed fee would generate approximately USD 8.8 billion annually, based on a projected annual volume of 85,000 H-1B cap-subject petitions. The fee would be paid at the time of filing and imposed in addition to all other applicable fees.

The agency noted that the fee would apply exclusively to H-1B cap-subject petitions and would not affect cap-exempt filings. Exemptions include petitions filed by certain nonprofit research organisations, governmental research bodies, and institutions of higher education.

US Citizenship and Immigration Services (USCIS) spokesperson Zach Kahler stated that the fee is specifically intended to recover interagency costs incurred across the federal government to adjudicate, vet, and support lawful immigration programmes that would otherwise be funded by taxpayers.

This development follows a recent federal appeals court decision rejecting a plea to stay a district judge's order overturning a previous Trump administration plan to charge a USD 1,00,000 fee on H-1B visa applications.

The proposal has drawn commentary from legal and advocacy groups. Emily Neumann, a US-based immigration attorney, described the move as a recurring strategy to restrict legal immigration. Meanwhile, Todd Schulte, president of advocacy organization FWD.us, warned that the proposed policy could negatively impact the ability of the United States to attract and retain global talent.

The Department of Homeland Security has opened a 30-day public comment period for submissions in English and full sentences. A final rule will be published after the agency reviews the received comments.

"This proposed fee structure introduces significant financial considerations for businesses that rely on global talent, particularly technology firms that depend on the H-1B visa programme to hire specialized professionals from countries like India and China. While the DHS aims to recover administrative and adjudication costs through this standalone fee, organizations will need to closely monitor how the final rule evolves during the public comment period and factor potential compliance cost changes into their long-term workforce planning." — Dr. Shishir Gupta, Founder & CEO, StartupLanes