In a major relief for international students and skilled professionals, the US Citizenship and Immigration Services (USCIS) has clarified that the recently announced $100,000 H-1B visa application fee will not apply to those changing their status from F-1 student visas to H-1B work permits.

The clarification, part of new guidance issued by the Department of Homeland Security (DHS), seeks to calm fears among foreign graduates—especially from India—who form the majority of new H-1B applicants each year. The DHS said the fee will only apply to new petitions filed from outside the United States, not to current visa holders or those seeking status adjustments, renewals, or extensions within the country.

“This exemption ensures that students already contributing to the U.S. economy through STEM programs and OPT work will not face additional financial burdens,” USCIS stated. The rule also confirms that H-1B professionals currently residing in the U.S. can continue their work or change employers without paying the hefty new fee.

The policy update comes after intense backlash from American businesses, universities, and immigrant advocacy groups. The U.S. Chamber of Commerce filed a lawsuit calling the fee “unlawful and economically harmful,” arguing it would drive away high-skilled talent.

India-born workers, who received over 70 percent of all approved H-1B visas in 2024, welcomed the exemption. Experts say the move will stabilize the talent pipeline in tech and research sectors, where Indian professionals play a critical role.

The White House confirmed that the $100,000 fee is a “one-time measure” applicable only to first-time visa applicants abroad.