The recent clarification by the U.S. government regarding the controversial $100,000 H-1B visa fee has brought much-needed relief to international students, skilled professionals, and U.S. employers, especially those in the technology sector. The Donald Trump administration’s proclamation, introduced in September, created confusion and concern among employers, universities, and visa applicants.
After weeks of uncertainty, the U.S. Citizenship and Immigration Services (USCIS) and the Department of State have clarified that the new H-1B fee applies only to new petitions filed for individuals currently outside the United States, not to those already in the country seeking change of status or extension of stay.
This update has been welcomed across the board — from Fortune 500 companies to small startups and international graduates working on Optional Practical Training (OPT).
In September, a presidential proclamation introduced a $100,000 visa filing fee for certain H-1B and L-1 visa petitions. The stated objective was to prioritize American workers and reduce dependency on foreign labor.
However, the sweeping language of the order left employers, legal practitioners, and universities puzzled. Many feared it would effectively halt the hiring of skilled foreign nationals — particularly STEM graduates from U.S. universities — and cripple tech sector innovation.
Orange Law Firm (orangelaw.us), a leading immigration and business law practice based in Houston, Texas, monitored the developments closely and advocated for clear guidance to protect both employers and visa applicants.
According to Karan, lead attorney at Orange Law, “The lack of clarity caused enormous uncertainty. Companies were unsure whether they could continue sponsoring H-1B professionals already working or studying in the U.S. Thankfully, the clarification reinstates stability and fairness.”
Clarification by the U.S. Government
The U.S. authorities have now confirmed that:
- The $100,000 fee applies only to new petitions for workers outside the United States.
- Change-of-status applications filed within the U.S. (for example, from F-1 to H-1B) are exempt.
- Extensions of stay for existing H-1B holders already in the U.S. are also exempt.
- Employers can proceed with pending change-of-status cases without paying the new fee.
This decision effectively narrows the scope of the proclamation, ensuring that foreign students transitioning from F-1 visas and professionals renewing their H-1B status are not unfairly burdened.
Why This Is a Major Relief for International Students
Thousands of international graduates in the U.S. were preparing to transition from OPT to H-1B status. The new fee had thrown their future into doubt.
Many feared that employers, especially smaller firms, would hesitate to sponsor H-1B applications due to the exorbitant $100,000 surcharge.
Now, with the clarification, students can breathe easier. The standard H-1B filing fees — typically ranging between $1,500 and $4,000 — remain in place for most employers.
Orange Law Firm emphasizes that this change restores opportunity for talented graduates to remain in the U.S., contribute to innovation, and fill critical roles in the tech, healthcare, and engineering industries.
“Our clients include top students from universities like Rice, UT Austin, and MIT,” notes Attorney Karan. “These graduates are future innovators. The government’s clarification ensures that the U.S. retains this exceptional talent.”
Impact on the U.S. Tech Industry
The American technology sector relies heavily on H-1B professionals, who fill specialized roles in software engineering, AI research, data science, and product development.
If the fee had applied to all petitions, the consequences could have been disastrous:
- Startups would have been unable to afford sponsorship.
- Large tech firms would have faced steep compliance costs.
- Innovation and competitiveness could have suffered globally.
With the clarification, companies like Google, Amazon, and hundreds of mid-sized tech firms can continue hiring skilled foreign professionals without crippling costs.
According to Orange Law’s analysis, this update not only protects U.S. competitiveness but also supports job creation, as foreign professionals often complement, rather than replace, the American workforce.
Legal Perspective: What Employers Should Know
From a compliance standpoint, employers must distinguish between:
- New Petitions (Outside U.S.) — Subject to the $100,000 fee.
- Change of Status (Inside U.S.) — Exempt.
- Extensions or Amendments — Exempt.
Employers are advised to review their filing strategies immediately. Firms with employees abroad awaiting H-1B consular processing must factor in the new cost, while those hiring graduates already in the U.S. can proceed normally.
Orange Law Firm recommends that employers consult experienced immigration counsel such as Attorney Karan Joshi to ensure full compliance and avoid unnecessary delays.
H-1B Visa Filing Tips from Orange Law Attorneys
To maximize approval chances and ensure compliance, Orange Law offers the following professional tips:
- Document everything thoroughly — Maintain employment verification, degrees, transcripts, and support letters.
- Plan ahead — Start preparations at least six months before the H-1B cap filing window opens.
- Stay compliant — Keep payroll, worksite, and wage documentation in line with Department of Labor standards.
- Avoid gaps in status — File timely extensions or change-of-status requests.
- Work with a licensed immigration attorney — Navigating policy shifts requires experienced legal support.
How Orange Law Can Help You Navigate These Changes
Whether you are an employer, international student, or professional worker, the legal team at Orange Law Firm (orangelaw.us) is equipped to provide personalized, results-driven guidance.
Contact Information:
📍 Orange Law Firm
🌐 www.orangelaw.us
📞 713-885-9787
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