H-1B Visa 2025 Rule Change – FAQs for Indians

H-1B Visa 2025 Rule Change – FAQs for Indians

The recent U.S. decision to impose a $100,000 fee on new H-1B visa petitions has created widespread confusion, especially among Indian workers and IT companies. This FAQ clears the doubts with straight answers—no fluff, just facts.

Quick Summary Table

Question Answer
What changed? $100,000 one-time fee on new H-1B petitions.
Who pays? Employer, not employee.
Is it annual? No, it’s one-time only.
Who is affected? New applicants filing after Sept 21, 2025.
Who is not affected? Existing H-1B holders, renewals, dependents.
Any exemptions? Yes, case-by-case (e.g., doctors, national interest).
Why was it introduced? To prioritize U.S. workers and reduce misuse.
Impact on Indians? Fewer opportunities, higher costs for IT firms.
Can it be challenged? Yes, legal challenges expected.

1. What has changed in the H-1B visa policy?

The U.S. has introduced a one-time $100,000 supplemental fee on new H-1B visa applications filed on or after September 21, 2025.


2. Does this apply to renewals or existing H-1B holders?

No. The fee applies only to new petitions. Existing holders and renewals/extensions are exempt.


3. Is the $100,000 fee annual or one-time?

It is a one-time fee, charged at the time of a new petition. It is not annual.


4. Who has to pay this fee – the worker or the employer?

Legally, the employer must pay. U.S. law prohibits passing most H-1B filing fees to the employee. However, in practice, costs may influence hiring decisions.


5. From when is the fee effective?

The rule applies to new applications filed on or after 12:01 AM ET, September 21, 2025.


6. If I already submitted my H-1B petition, am I affected?

No. Applications filed before the deadline are not subject to the new fee.


7. What if I travel outside the U.S. and return on my existing H-1B visa?

You can re-enter without paying the new fee. The rule does not affect valid existing visas.


8. Are dependents (H-4 visa holders) affected?

No. The $100,000 fee applies only to the primary H-1B petition, not to dependent visas.


9. Are there any exemptions?

Yes. The U.S. administration can grant case-by-case exemptions for workers deemed in the national interest. Reports suggest doctors and medical residents may qualify.


10. Why was this change introduced?

The Trump administration argues it will:

  • Discourage misuse of the H-1B program.

  • Prioritize hiring of U.S. workers.

  • Ensure only high-value, highly skilled roles are sponsored.


11. How will this impact Indian IT firms?

  • Big cost increase when sending employees to the U.S.
  • Companies may cut down new H-1B filings.
  • More work could shift offshore (done from India instead of on-site in the U.S.).

12. How will this impact Indian workers?

  • Fewer new opportunities in the U.S.
  • Only senior or high-skilled roles may get sponsorship.
  • Fresh graduates and entry-level tech workers will face more barriers.

13. What about U.S. clients of Indian IT firms?

Projects that depend on on-site Indian talent may become costlier. Some contracts may need re-negotiation.


14. How has India reacted?

The Indian government expressed concern over:

  • Disruption to families.
  • Negative impact on skilled workers.
  • Broader economic ties.

Industry body Nasscom said the clarification (renewals not affected) gives companies some breathing room.


15. Can this policy be challenged legally?

Yes. Legal experts expect lawsuits, arguing that the fee is discriminatory and harmful to businesses. But until courts rule otherwise, the policy stands.


16. What should potential applicants do now?

  • If your employer can absorb the cost, you may still apply.
  • If not, explore alternatives like L-1 visas, remote/offshore work, or opportunities in Canada/Europe.
  • Monitor updates closely—exemptions or legal outcomes may shift the situation.

Conclusion

The $100,000 H-1B fee marks one of the most significant shifts in U.S. immigration policy in recent years. While it spares existing visa holders and renewals, it raises the entry barrier for new applicants, hitting Indian IT firms and professionals the hardest. The coming months will be crucial—possible exemptions, legal challenges, and business adjustments may reshape how this rule actually plays out. For now, the message is clear: only the most critical and high-value roles will justify the steep cost of a new H-1B visa.