The Donald Trump administration has unveiled a proposed rule imposing an unprecedented $103,265 fee on H-1B visas, a program widely used by US employers to hire highly skilled foreign professionals.
The fee was first introduced last year but was suspended amid legal challenges and court orders. The issue has returned to the spotlight after the Department of Homeland Security (DHS) published the proposed regulation on Monday.
The measure stems from an emergency order issued by President Donald Trump in 2025 that dramatically increased the cost of a visa widely used in the technology, education and research sectors. The order is set to expire in September after one year, but it directed the DHS to convert the measure into a permanent regulation.
In line with that directive, the DHS’s proposed rule imposing a $103,265 fee was published online in the Federal Register on Monday and is expected to be formally entered on Tuesday. The publication will launch a 30-day public comment period, with the regulation potentially being finalized by the end of this year.
The fee has already faced significant legal challenges. In June, a US judge ruled the H-1B fee unlawful and barred the Trump administration from collecting it. The ruling is currently under review by a federal appeals court in Boston. Separately, another court is considering whether a Washington, DC, judge properly dismissed a legal challenge brought by a major business group.
The US Chamber of Commerce, several Democratic-led states, and a coalition of labor unions and employers are mounting strong legal opposition to the measure. They argue that the DHS cannot impose such a fee or raise revenue without explicit authorization from Congress. The Trump administration, however, maintains that the charge is not a conventional tax and argues that the president has broad authority to restrict the entry of foreign nationals into the United States.
The H-1B program allows US employers to hire foreign professionals for jobs requiring specialized skills. Each year, the program provides 65,000 visas under the regular quota, along with an additional 20,000 for foreign workers holding advanced degrees. H-1B visas are generally valid for between three and six years.
Trump and critics of the program argue that some US companies have exploited the system by replacing American workers with lower-paid foreign employees. Business groups and major corporations, however, say the program is essential for filling specialized positions where qualified American workers are unavailable and for attracting top global talent.
The Trump administration’s tougher immigration policies and higher fees have already had a significant impact on H-1B applications. According to data from US Citizenship and Immigration Services (USCIS), employers registered about 344,000 H-1B applications last year—more than 25% fewer than in 2024 and less than half the roughly 794,000 registrations recorded in 2023.
The administration has also ordered stricter background checks for H-1B applicants and proposed a new selection system that would give preference to higher-paid and more highly skilled workers. Earlier this month, the DHS separately proposed additional fees of up to $4,500 for certain applications involving H-1B workers seeking visa extensions or transfers to the United States from abroad.
If the proposed $103,265 fee becomes final this week, it could open a new chapter in the ongoing legal battle over the future of the H-1B visa program.