The Trump administration clarified that the $100,000 annual H-1B fee will not apply to current visa holders or international graduates already in the US.
The clarification comes amid strong political backlash in India, with Rahul Gandhi and Mallikarjun Kharge accusing the Modi government of failing to protect Indian professionals.
In a major relief for thousands of Indian professionals and students in the United States, the Trump administration has clarified that recent international graduates sponsored for H-1B status while already in the country will not be required to pay the steep $100,000 fee introduced last month. Officials had earlier also stated that existing H-1B visa holders will not be required to pay the fees announced last month.
The clarification comes after weeks of confusion following Trump’s proclamation, which mandated the steep annual fee, equivalent to around ₹90 lakh, for employers sponsoring technically skilled foreign workers. The fee was scheduled to take effect from 12:01 a.m. ET on September 21, triggering panic among Indian workers, US employers, and immigration attorneys.
In its latest guidance, the US Citizenship and Immigration Services (USCIS) said the $100,000 fee will not apply to anyone already in the United States on a valid visa, including F-1 student visa holders, L-1 intra-company transferees, and current H-1B visa holders seeking renewals or extensions.
The proclamation “does not apply to any previously issued and currently valid H-1B visas, or any petitions submitted prior to 12:01 a.m. ET on September 21, 2025,” the agency clarified. It also stated that H-1B holders can continue traveling in and out of the United States without restriction, addressing one of the biggest concerns raised after the fee announcement. The USCIS further confirmed that existing foreign nationals applying for a change of status—such as international students on F-1 visas transitioning to H-1B jobs—will not have to pay the new fee.
Trump’s $100,000 fee drew swift reactions both in the US and India. US Commerce Secretary Howard Lutnick defended the move, saying it was designed to attract “high earners” and discourage companies from bringing in “low earners who take jobs from Americans.”
He added that while H-1B quotas remain at 65,000 regular and 20,000 advanced degree slots, “there’ll just be less of them issued.”
The announcement also sparked a political row in India. Leader of Opposition Rahul Gandhi accused Prime Minister Narendra Modi of failing to protect Indian workers’ interests, while Congress chief Mallikarjun Kharge called the fee a “birthday gift” from Trump to Modi—referring to the US President’s recent call to the PM.
The Centre said it was studying the implications of the new policy. Meanwhile, Prime Minister Modi, speaking in Gujarat, reiterated his call for “self-reliance,” saying India’s “only real enemy is dependence on other countries.”
(with inputs from The Hindustan Times)
