The US Department of Homeland Security (DHS) has proposed a significant **$103,265 fee for every cap-subject H-1B petition**. This proposed fee would apply to all eligible applications, including those qualifying for the US master’s degree exemption.
If enacted, this fee would be payable when the H-1B petition is filed and would be an addition to the already existing filing and processing charges. It’s important to note that this is **not yet a final fee** and remains a proposal.
Who Would Pay the Proposed H-1B Fee?
The proposed charge would specifically apply to H-1B petitions that fall under the annual cap:
- The 65,000 regular H-1B visas.
- The 20,000 additional visas for applicants holding a US master’s degree or higher.
For Indian professionals, who represent a substantial portion of H-1B applicants, this potential cost could make US employer sponsorship considerably more expensive.
Crucially, the fee would **not apply to cap-exempt H-1B petitions**. This includes positions with nonprofit research organizations, government research organizations, and US higher education institutions.
Why Is DHS Proposing This H-1B Fee Increase?
DHS states that this additional charge is intended to help cover federal expenditures related to immigration processing, security screening, fraud detection, visa processing, immigration courts, and other government operations. Based on an estimated 85,000 cap-subject petitions annually, DHS projects that this fee could generate approximately **$8.8 billion each year**.
This proposal highlights a broader trend: the US government is increasingly seeking to shift the financial burden of its immigration system from taxpayers directly onto employers and visa applicants.
Understanding Existing vs. Proposed H-1B Visa Fees
The proposed $103,265 fee would be an entirely new charge, not a replacement for existing H-1B filing costs. For a typical cap-subject petition, current USCIS fees already include several separate charges:
- H-1B Form I-129 filing fee: $780 for paper filings or $730 for online submissions.
- Asylum Program Fee: $600 for most employers.
- Fraud Prevention & Detection Fee: $500, where applicable.
- ACWIA fee: $1,500 or $750, depending on the employer’s size.
The new proposed H-1B cap-subject fee of $103,265 would be added on top of these existing fees.
What This Proposed H-1B Fee Means for Applicants
The immediate concern is not payment, as **the proposal must still undergo the full rulemaking process and could be revised before final implementation.**
However, if enacted at the proposed level, employers sponsoring skilled workers, especially Indian technology professionals, would face a significant increase in costs. This could potentially influence future hiring and sponsorship decisions.
For Indian applicants, this represents another critical US immigration policy development to monitor closely. While the annual H-1B cap remains unchanged, the financial barrier to obtaining an H-1B visa could dramatically rise.
Travelobiz Take: H-1B Fee Outlook
We view this as a major cost warning for Indian H-1B hopefuls. However, it is not an immediate payment obligation. We advise waiting for the final rule before making any definitive decisions regarding H-1B applications.
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