U.S. Proposes $103,265 Fee on New H-1B Visa Petitions

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By Lim Hye-rinhihilinn@sedaily.com
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U.S. President Donald Trump. AFP/Yonhap News - Seoul Economic Daily International News from South Korea
U.S. President Donald Trump. AFP/Yonhap News

The Trump administration is reviving a plan to impose an added fee of $103,265 (about 140 million won) on H-1B visas issued to highly skilled foreign workers. A federal court struck down the administration's earlier $100,000 fee in June, but the government has now proposed a separate rule with an even higher amount.

The Department of Homeland Security proposed the rule on the 24th, applying the $103,265 surcharge to new H-1B petitions subject to the annual cap. The amount comes on top of existing fees. DHS said the measure would raise about $8.5 billion a year to fund the legal immigration system, including case processing, fraud detection, national security screening and immigration courts.

The plan would not apply to every H-1B applicant. Petitions filed by certain nonprofit research organizations, government research agencies and institutions of higher education that fall outside the cap would be exempt. The precise scope, including cases in which foreign students in the U.S. switch to H-1B status, could change depending on the final rule.

Struck Down in June, Now Back at a Higher Price

President Donald Trump introduced a policy last year requiring an additional $100,000 payment for new H-1B petitions. But Judge Leo Sorokin of the federal district court in Massachusetts ruled in June that the policy amounted to imposing a tax without authorization from Congress, exceeding the administration's authority.

Sorokin said there was little basis to conclude that Congress had delegated taxing power to the president through the H-1B policy. The administration has objected and is pursuing an appeal.

The $103,265 plan is not a straight revival of the earlier policy but a new rule that imposes the surcharge through a separate regulatory route. The proposal will be finalized after a public comment period and further procedures.

The H-1B is a non-immigrant work visa that allows companies to hire foreign professionals in occupations requiring specialized knowledge. It is widely used by U.S. companies in information technology, research, education and health care. Among beneficiaries of approved H-1B petitions in fiscal 2024, India accounted for the largest share of countries of birth at 71.0%, followed by China at 11.7%, the Philippines at 1.3%, Canada at 1.1% and South Korea at 1.0%. Korean-born beneficiaries numbered 3,983, fifth among all countries.

The administration argues that the higher cost will push companies to hire and train American workers instead of foreign staff. Companies and some state governments have pushed back, saying the cost of securing highly skilled foreign talent could become excessive, leaving room for further legal battles.

Up to 200,000 B1 and B2 Visas Also Targeted for Revocation

The administration is also moving to cancel short-term visitor visas on a large scale. The State Department is preparing a plan to revoke as many as 200,000 B1 and B2 visas held by foreign nationals who have filed for asylum or whose asylum claims are pending.

B1 visas are issued for business purposes such as work trips, while B2 visas cover tourism, family visits and medical treatment. According to The Associated Press, if the measure takes effect, it could cover B1 and B2 visas issued since 2016 that are held by people who have applied for or are seeking asylum. The actual number of revocations is expected to be determined as the process moves forward.

The AP reported that the step, if carried out, could amount to the largest single visa revocation in U.S. history. Having a visa revoked, however, does not by itself mean deportation.

Deputy Secretary of State Christopher Landau criticized the practice, saying the asylum system should not be used as a way to circumvent immigration law. About 175,000 visas have been revoked since the start of Trump's second term over criminal allegations, anti-American remarks and similar grounds, according to the AP.

Original reporting by Lim Hye-rin for Seoul Economic Daily.

AI-translated from Korean. Quotes from foreign sources are based on Korean-language reports and may not reflect exact original wording.

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