The U.S. Department of Homeland Security proposed a permanent fee of $103,265 for new H-1B visas for highly skilled foreign workers, a significant increase from the current range of $2,000 to $5,000. The proposed rule, published in the Federal Register on Monday, aims to codify a temporary fee imposed last year that was later blocked by a federal judge in June.
The fee would apply to new H-1B visa applications, including the 65,000 standard visas and an additional 20,000 allocated annually for workers with advanced degrees. Renewals of existing visas and foreign citizens already in the U.S. on student visas would be exempt. The administration has framed the fee as a regulatory measure rather than a tax, asserting that courts have limited authority to review executive decisions on immigration restrictions.
The proposal follows a separate rule issued earlier in August by U.S. Citizenship and Immigration Services, which added fees of up to $4,500 for extending stays or transferring H-1B workers to the U.S. from abroad. The combined measures reflect a broader policy shift toward stricter vetting and higher costs for H-1B visas, which are critical for sectors such as technology, education, and research.
Employer registrations for H-1B visas declined by more than 25% last year compared to 2024, with approximately 344,000 registrations filed in 2025, down from 794,000 in 2023. As of late February, about 70 employers had paid the $100,000 fee on 85 visa applications, according to court filings.
The proposed rule faces multiple legal challenges. A Boston-based appeals court is reviewing the June ruling that deemed the fee illegal, while another court evaluates a challenge by the U.S. Chamber of Commerce and a coalition of unions and employers. Critics argue that the administration lacks the authority to impose such fees without congressional approval, as the H-1B program was created by statute. The Trump administration has countered that the fee is not a traditional tax and falls within its immigration enforcement powers.
The temporary fee increase is set to expire in September, one year after its implementation. The administration has indicated that the proposed rule could be finalized by the end of the year, though legal challenges may delay or alter its implementation.
