The White House has extended a policy requiring a $100,000 payment for many new H-1B visa petitions through September 21, 2027. President Donald Trump signed the proclamation continuing the restrictions first introduced in September 2025, which generally require sponsoring employers to make the payment before certain H-1B beneficiaries located outside the United States can be admitted. The administration frames the fee as a way to curb abuse of the visa programme and prevent companies from undercutting wages for American employees.
Enforcement of the fee remains suspended because a federal judge in Massachusetts ruled in June 2026 that the payment was an unlawful tax exceeding executive authority, and a government appeal is pending. A separate legal challenge from the US Chamber of Commerce is also moving through the courts. The extension excludes foreign nationals already in the US on student visas transitioning to H-1B status and routine renewals of existing visas.
The policy disproportionately affects Indian technology professionals and Indian IT exporters, such as Tata Consultancy Services, Infosys, Wipro, HCL Technologies, and Tech Mahindra, who rely heavily on the visas. In response, some employers like Alphabet have expanded hiring in India, while business groups warn the restrictions will make recruiting specialized talent harder. Additionally, the administration has proposed a permanent regulation for a $103,265 baseline fee for new cap-subject petitions alongside a companion executive order calling for greater scrutiny of employers.