In a significant development that comes as a breath of fresh air for thousands of Indian professionals and international students in the United States, the US Citizenship and Immigration Services (USCIS) has announced crucial exemptions to the recently introduced $100,000 fee for H-1B visa sponsorship. This steep fee, imposed by the Trump administration in September 2025, had triggered widespread concern and confusion among Indian tech workers, students, and their employers due to the exorbitant cost and uncertainty around eligibility.

The new clarifications specify that the hefty fee will not apply to those who are already in the US on valid visas, including current H-1B visa holders, F-1 student visa holders seeking to change status to H-1B, and L-1 intra-company transferees applying for H-1B status from within the country. Additionally, H-1B visa holders seeking renewals or extensions are also exempted from paying this surcharge. This means thousands of Indian tech professionals and students currently living and working in the US can continue their programs or careers without the burden of this excessive fee.

The fee does apply only to fresh petitions for H-1B workers who are outside the US applying for new visas after the cutoff date of September 21, 2025. This distinction has brought much-needed clarity for employers and applicants alike, allowing companies to proceed with change-of-status filings without fearing sudden cost escalations. The announcement has particularly relieved Indian techies since India accounts for about 70% of all new H-1B visa allocations annually, with an estimated 300,000 Indian workers currently on H-1B visas in the US tech and service sectors.

Prior to this exemption, the $100,000 fee represented a dramatic increase compared to the previous visa cost range of $215 to $5,000 depending on company size and role type. This new levy would have been prohibitively expensive, potentially exceeding many new workers’ annual salaries and discouraging US firms from hiring skilled foreign talent, especially from India. The recent clarification is therefore a critical step to safeguard the career pathways of many Indian students and professionals who form the backbone of the US technology landscape.

In conclusion, the USCIS exemption announcement marks a positive turn, restoring confidence among Indian tech workers and students who feared the financial burden would derail their ambitions in the United States. It balances the need for visa reforms while protecting existing visa holders and future international graduates already in the US, ensuring the H-1B program remains accessible and continued as a key enabler of global talent mobility.​

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