Major H-1B Visa $100,000 Fee Loophole: What You Need to Know and Who Gets Affected?

What is the H 1B Visa $100,000 Fee Loophole? The H 1B Visa new rules went into effect after September 21, 2025. The new rules for H 1B visa holders were imposed by the Trump Administration in 2025, aiming to curb misuse of the skilled worker program. However, significant clarifications reveal a loophole exempting many applicants already in the U.S. on other visas, such as F-1 student visas, from paying this hefty charge. 

According to USCIS guidance, the $100,000 H-1B visa fee applies mainly to new applicants filing petitions from outside the United States, creating a divide between new entrants and those adjusting status domestically. Read on to learn about the major loophole in the $100,000 H-1B visa fee introduced in 2025 and understand who gets affected and who is exempt.

What is the H-1B Visa $100,000 Fee Loophole?

The loophole allows individuals currently in the U.S. on visitor, student (F-1), or other nonimmigrant visas to switch to H-1B status without triggering the $100K fee.

• The $100,000 fee targets new H-1B petitions filed by employers for workers abroad.

• Change-of-status petitions, such as F-1 to H-1B conversions within the U.S., are exempt.

• Extensions, amendments, and transfers inside the U.S. also do not require the fee.

• This exemption primarily benefits foreign students transitioning to skilled work.

• Employers hiring candidates already in the U.S. save on this substantial cost.

What Should the H-1B Visa Holders Need to Know?

The $100K fee must be paid upfront for new petitions submitted after September 21, 2025, from outside the U.S. Current H-1B visa holders extending or changing jobs within the U.S. are exempt from this fee. Petition denials or withdrawals may impact fee requirements and future filings. 

Employers are responsible for paying this new fee; it cannot be passed to employees. Exemptions include workers serving national interest or exempt organizations. Understanding these rules aides employers and visa holders in financial and compliance planning.

H-1B Visa Fee Loophole: Who Gets Affected?

The $100K H-1B Visa Fee loophole is viewed by some as supporting international graduates while pressuring new visa applicants outside the U.S.

This loophole mainly affects new foreign workers applying from abroad, protecting those inside the U.S.

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Conclusion

The $100,000 H-1B visa fee introduced in 2025 includes a significant loophole exempting many visa status change applicants within the U.S., especially students on F-1 visas moving to skilled employment. While the fee aims to safeguard U.S. labor markets, its application primarily pressures new overseas applicants. Employers and visa holders must stay informed to navigate the evolving regulations effectively and manage costs associated with H-1B visa sponsorship.