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DHS Proposes Making $103,265 H‑1B Fee Permanent

Locking a six‑figure cost into H‑1B filings, the proposal would prompt legal fights and reshape how federal agencies are funded.

Overview

  • The Department of Homeland Security published a proposed regulation on Monday to set a permanent $103,265 fee for certain new H‑1B petitions subject to the annual cap and opened a 30‑day public comment period.
  • The charge would apply to new cap‑subject filings, exclude cap‑exempt petitions from universities and nonprofit research groups, and require payment at filing or the petition may be rejected.
  • The proposal comes while a federal judge in Massachusetts has ruled the earlier temporary charge unlawful and blocked its collection, with the government appealing and the First Circuit refusing a stay in July.
  • DHS says the fee would raise about $8.8 billion a year and assigns large shares to USCIS, the Justice Department and the Labor Department to pay for adjudications, immigration courts, certifications, enforcement and fraud controls.
  • Practical effects are uncertain because uptake of the temporary charge was small (about 70 employers paid it for 85 petitions through February), USCIS says FY2027 caps have been reached, and employers warn the cost could limit access to specialized talent and slow hiring.