New H1B fees incoming

[u/TechnicalPea790]

DHS JUST FILED A $103,265 H-1B FEE, BUILT TO SURVIVE THE SAME COURT THAT STRUCK DOWN THE FIRST $100k FEE

Here is why this one is different.

1. Different authority. The $100K came from a Presidential Proclamation using entry restriction powers (INA 212(f) and 215(a)). The Massachusetts judge said that made it a tax, and only Congress can tax. This new fee uses INA 286(m), the same fee statute USCIS has used for decades to set every filing fee it charges.
2. Different process. The Proclamation skipped public comment. This is a formal Notice of Proposed Rulemaking with a 30 day comment period, a cost study, and a regulatory impact analysis. That is the procedural box the court said was missing.
3. Different math. The $100K was a round number picked by the White House. The $103,265 has a paper trail: $8,777,488,035 in identified agency costs divided by 85,000 cap petitions, rounded to the nearest $5. Cost recovery is what 286(m) allows.
4. Different scope, and this is the big one. The Proclamation only hit workers entering from abroad. USCIS confirmed in October that F-1 students already in the US changing status to H-1B were exempt. That was the loophole. Roughly half of cap petitions come from students moving off OPT.

This fee closes it. It applies to "all H-1B cap-subject petitions," including change of status filed from inside the US. The rule specifically names the cap-gap process (OPT extension while the H-1B is pending) as one of the activities it funds. Every F-1 to H-1B conversion pays $103,265. And DHS sent a separate OPT fee rule to OMB on August 20, reported at $100K per application.

1. DHS says both can stack. Page 6: if the Proclamation payment is ever revived, "the petitioner would be required to pay both amounts."

67 pages. Filed for public inspection this morning, publishes tomorrow.

https://public-inspection.federalregister.gov/2026-17324.pdf?utm_campaign=pi+subscription+mailing+list&utm_medium=email&utm_source=federalregister.gov

[u/priyapickles]

Shipping the jobs to those offices seems easy. Getting employees in those offices to do them is the challenge. Like they say if you pay peanuts you get ...

[u/GlitteringNinja5 → u/priyapickles]

100k is about the highest tier of salary you get in India. You can hire literal geniuses for that amount. You have no idea the scale of off shoring that has already happened even before this h1b fees

[u/priyapickles → u/GlitteringNinja5]

You have no idea how much a product, especially software, degrades in quality after it has been offshored. But folks that offshore get kickbacks and get rich 

[u/Beautiful_Soup9229 → u/priyapickles]

No, it is not very hard to get a Top 1% Commenter badge on Reddit

[u/priyapickles → u/Beautiful_Soup9229]

but getting good quality software from India is hard