US H-1B Visa Rule Change: 3 Big Takeaways for Indian Students and IT Workers
The United States Citizenship and Immigration Services (USCIS) has issued important clarifications regarding the contentious $100,000 (roughly Rs 88 lakh) H-1B visa fee that was imposed last month by a presidential proclamation by the Trump administration, which is a major update for Indian students and tech professionals. The purpose of the explanation is to clear up any misunderstandings regarding the charge, including who is subject to it, how to pay, and when it can be waived.
Two important groups—international students switching to work visas and Indian techies already living in the US—are very relieved by the explanations. Notably, the USCIS has affirmed that individuals who are changing their immigration status within the United States, such as students switching from F-1 to H-1B visas, are exempt from the charge. Given that Indian citizens still account for approximately 70% of all H-1B visas granted in 2024, this is very crucial.
This clarification also addresses growing concerns among thousands of Indian graduates who intend to join the American workforce, as Indian students made up 27% of all international students in the US in 2024, an 11.8% increase from the year before, according to US Immigration and Customs Enforcement (ICE).
These are the three main conclusions to be drawn from the USCIS’s Monday explanations.
1. US ANNOUNCES EXEMPTION FOR INTERNATIONAL STUDENTS
According to Forbes, which cited the statement, the USCIS has made it clear that the charge will not be applied to “change of status” instances, which are situations in which individuals go from one category to another without leaving the country, such as when they shift from F-1 student status to H-1B status. This is the most important lesson for businesses.
Dan Berger of the immigration law firm Green & Spiegel stated in an interview that “it says the fee only applies to cases filed for people outside the United States, so they can come in,” according to Forbes.
“Employers were nervous about doing change of status because the $100k might apply if they travel,” Berger stated.
It is important to note that the Trump administration has implemented crackdowns on overseas students, deporting a number of them for minor or outdated infractions. International students studying in the US are relieved by this explanation.
2. NO FEE FOR EXTENSIONS, REENTRIES, PRE-SEPT 21 FILINGS
Additionally, the USCIS guaranteed unrestricted entry and exit into the United States for current H-1B visa holders and authorized beneficiaries.
According to the government, “The Proclamation does not apply to any previously issued and currently valid H-1B visas, or any petitions submitted prior to 12:01 am eastern daylight time on September 21, 2025.”
“The Proclamation also does not apply to a petition filed at or after 12:01 am eastern daylight time on September 21, 2025, that is requesting an amendment, change of status, or extension of stay for an alien inside the United States where the alien is granted such amendment, change, or extension,” it stated.
The cost would be charged, meanwhile, if the USCIS finds the individual to be “ineligible for a change of status or an amendment or extension of stay.”
The letter states that the cost is also applicable when a person submits a new H-1B petition or requests consular processing while they are not in the United States.
3. RARE VISA FEE WAIVERS POSSIBLE, PAYMENT PROCEDURE OUTLINED
The charge could be waived in very specific circumstances.
Exemptions may be granted in “extraordinarily rare circumstances” by Secretary of Homeland Security Kristi Noem, such as when no eligible American worker is available or when the position is thought to be in the national interest.
Additionally, USCIS has issued payment guidelines, instructing employers to pay the cost before submitting the petition by using pay.gov.
Petitions without evidence of exemption or payment will be categorically denied. The employer must still pay the cost even if an application is rejected because the applicant was found to be ineligible for a status modification or extension.
This comes after the US Chamber of Commerce filed a lawsuit contesting the fee’s legality.
Critics contend that it unjustly penalizes foreign talent, especially from India, and smaller enterprises. Nonetheless, for professionals, students, and companies preparing their future moves in the US, these explanations provide a degree of assurance and strategic clarity.


