OTHER policy update

DHS proposes $103,265 H-1B fee following court rejection of $100K charge

After a federal court struck down Trump's $100,000 H-1B visa fee, DHS has proposed a new $103,265 fee structure subject to annual cap. Key details for employers and practitioners on timing and scope.

The Department of Homeland Security has proposed a new $103,265 fee for H-1B visa petitions following a federal court’s rejection of an earlier $100,000 fee structure. This marks the administration’s latest attempt to increase H-1B costs after encountering significant legal challenges.

What changed

DHS has proposed a new $103,265 fee for all H-1B petitions subject to an annual cap. A Boston federal court found the earlier $100,000 fee proclamation unlawful, and that decision, which the US Court of Appeals for the First Circuit declined to stay, was one of the biggest legal setbacks so far for Trump immigration policies.

The plan expands screening fees for some employers, broadens officers’ discretion to reject petitions, and signals plans to terminate a grace period for H-1B workers who lose their jobs. The department is also reportedly looking to add a six-figure fee for the post-graduate employment program used by many foreign students seeking H-1B status.

Why it matters

The new $103,265 fee would represent a dramatic increase from current H-1B costs. For comparison, employers typically pay between $2,000 and $5,000 in fees under the existing structure. A fee of this magnitude will substantially raise the cost of sponsoring H-1B workers and may prompt employers to reconsider hiring plans or reduce the volume of petitions filed.

The fee structure comes immediately after the First Circuit declined to stay a lower court’s injunction blocking the $100,000 fee. Immigration practitioners should anticipate continued litigation—there is ongoing uncertainty over the court battle over the fee—meaning the final cost structure remains fluid. Some employers have rushed to submit petitions in the meantime, as they don’t want to wait until there’s another change in court.

This change will also expand DHS discretion to reject H-1B petitions and eliminate the current 60-day grace period for workers whose status lapses, increasing operational risk for employers managing workforce transitions.

Way forward

  • Monitor litigation closely. The new fee will likely face legal challenge, as did the $100,000 version. Subscribe to USCIS alerts and tracking the First Circuit and other relevant federal court dockets to understand whether the fee will actually take effect.
  • Update cost models. Work with finance and HR to model the impact of a $103,265-per-petition cost. Compare the economics against sponsoring additional Green Card candidates or recruiting domestically.
  • Review petition timing and strategy. If the fee is not yet in effect, evaluate whether to file petitions now under current fee schedules or delay pending resolution of the legal challenges and final rulemaking.
  • Plan for heightened scrutiny. Expanded DHS discretion to reject petitions means more detailed petition preparation and stronger factual support for specialty occupation and wage determinations.

Disclaimer

This article is for informational purposes only and does not constitute legal advice. It is provided by a software company, not a law firm. Please consult a licensed immigration attorney to discuss how these changes affect your specific situation and filing strategy. Immigration policy can change without notice, and practitioners should verify all information against official DHS guidance and the primary source linked above.

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