USCIS Exempts F-1 to H-1B Changes from Trump’s $100K Fee

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In a significant clarification, the U.S. Citizenship and Immigration Services (USCIS) has confirmed that the $100,000 H-1B fee introduced under President Donald Trump’s September 19 proclamation will not apply to international students transitioning from F-1 to H-1B status within the United States.

The updated guidance, issued on October 20, eases concerns among thousands of students and U.S.-based employers who feared that the steep fee could extend to domestic filings. USCIS made clear that the new fee targets offshore-heavy petitions, particularly those filed by major IT outsourcing firms.

Effective 12:01 a.m. EDT, September 21, 2025, the $100,000 fee applies only to:

New H-1B petitions for foreign nationals outside the U.S. without a valid H-1B visa.

Petitions requesting consular or port-of-entry processing, including pre-flight inspections.

It does not apply to:

Existing H-1B holders or petitions filed before September 21.

Change-of-status petitions, such as F-1 to H-1B transitions.

H-1B amendments or extensions for workers already in the U.S.

Re-entry of H-1B holders with valid visas or approved petitions.

This exemption comes as a major relief to international students completing Optional Practical Training (OPT) and seeking to continue working in the U.S. through H-1B sponsorship. It also clarifies that minor travel or status adjustments will not trigger retroactive fees.

However, USCIS cautioned that if a change-of-status or extension petition is denied—for instance, due to a lapse in visa status or departure from the U.S. before approval—the $100,000 fee could still apply.

According to Deedy Das of Menlo Ventures, the rule is “clearly aimed at large outsourcing firms, particularly the WITCH companies,” which rely heavily on overseas H-1B hires. Some firms are reportedly considering increased use of L-1 visas as a workaround.

While legal challenges to the policy are already in progress, the USCIS’s latest clarification draws a decisive line:
➡️ Petitions filed within the U.S. for individuals already in status are exempt.
➡️ Petitions to bring workers from abroad are not.


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