The US administration is moving to expand an existing visa surcharge to H-1B and L-1 extension petitions, a step that could significantly increase costs for employers relying on foreign professionals. At present, the additional fee applies only to new H-1B and L-1 applications and change-of-employer filings. Under the proposed rule, companies meeting specific workforce criteria would also pay the fee when renewing visas for existing employees.
The proposal mainly affects employers with at least 50 US employees, where more than half hold H-1B or L-1 status. These firms currently pay an extra $4,000 for new H-1B petitions and $4,500 for new L-1 petitions, with the same charges likely to apply to renewals if the rule is finalized.
Indian professionals are expected to feel the greatest impact, as they accounted for more than three-fourths of H-1B extension approvals in fiscal year 2025. Major technology companies and IT service providers with large H-1B workforces could face substantially higher expenses. According to the Department of Homeland Security, the proposal aims to align with congressional intent while generating additional funding for the US biometric entry-exit system.