Is Your H-1B Visa Banned? What the $100,000 Fee Really Means (October 2026 Update)

If you hold an H-1B visa, are waiting on a petition, or sponsor H-1B workers, headlines about a "ban" or a "$100,000 fee" can be alarming. Much of the coverage blurs the difference between a restriction on entry for certain new petitions and a ban on the visa. They are very different things. This guide explains what the policy really says, who it reaches, and what has changed in court, so you can decide your next step with accurate information.

H-1B ban myth vs. reality at a glance

What the H-1B proclamation actually does

On September 19, 2025, the President issued Proclamation 10973, "Restriction on Entry of Certain Nonimmigrant Workers," which took effect on September 21, 2025. It restricts the entry of H-1B workers unless a $100,000 payment accompanies the petition, and it allows narrow, discretionary national interest exceptions.

Government clarifications issued days later confirmed that the policy applies prospectively. It was aimed at new petitions for beneficiaries outside the United States, and it does not change fees for H-1B renewals.

On September 18, 2026, the President signed a new proclamation extending the payment requirement for another 12 months, through September 21, 2027. On the same day, he signed a separate executive order directing federal agencies to coordinate more closely and scrutinize H-1B filings more carefully, including employer layoffs.

Extending a proclamation is not the same as enforcing it. The extension continues a policy that, as explained below, courts have blocked agencies from implementing.

Who is and is not affected by the $100,000 payment

Your exact facts matter. Consular notification requests, port-of-entry notification, and pre-flight inspection can change the analysis, so confirm your situation with an attorney before assuming you are exempt.

Where the court challenges stand (as of October 19, 2026)

• June 8, 2026 (D. Massachusetts): A federal court in a case brought by 20 states vacated the agency policy implementing the $100,000 payment. The administration appealed, and on July 24, 2026, the First Circuit declined to pause the ruling while the appeal proceeds.
• September 30, 2026 (N.D. California, Global Nurse Force v. Trump): A second federal judge vacated and barred enforcement of the agency policies implementing the payment, including as applied to the September 2026 extension, finding the agencies skipped required notice-and-comment rulemaking.
• October 9, 2026: The government filed a notice of appeal to the Ninth Circuit and asked for the order to be paused.
• D.C. Circuit: A separate case in which a lower court upheld the proclamation is on appeal, with oral argument held in March 2026.

What this means in practice: employers sponsoring H-1B workers from abroad are not currently required to include the $100,000 payment while these orders stand. Because multiple appeals are active and the issue may reach the U.S. Supreme Court, the government could attempt to revive collection.

Other H-1B changes to watch

A separate proposed $103,265 fee

On August 25, 2026, the Department of Homeland Security published a proposed rule that would add a $103,265 fee for cap-subject H-1B petitions, including those under the advanced degree exemption and change of status requests. It is only a proposal, and the public comment period closed on September 24, 2026. If finalized, it would be a different legal mechanism from the proclamation.

Heightened scrutiny of H-1B employers

The September 18, 2026 executive order does not change H-1B eligibility requirements, but it may lead to more intensive review of filings, particularly for employers with recent layoffs. Expect more requests for evidence, so keep your documentation organized.

What to do now

If you are a current H-1B holder

• Keep copies of your approval notice (Form I-797), passport, visa stamp, recent pay stubs, and an employer letter.
• Speak with an immigration attorney before booking international travel, since policies and enforcement can shift quickly.
• Start extension and green card planning early.

If you are a candidate or recent graduate seeking H-1B sponsorship

• Ask whether your case can be a change of status from inside the U.S. rather than a consular case.
• Explore backup options, such as cap-exempt employers, O-1, L-1, or other categories that may fit your profile.

If you are an employer

• Audit your H-1B files, wage levels, and public access files for compliance.
• Review your workforce plans if you have had layoffs, given the new executive order.
• Prepare budget scenarios for the proposed $103,265 fee and for the possibility that the $100,000 payment is reinstated.

Frequently asked questions about the H-1B "ban"

Is the H-1B visa banned in 2026?

No. The H-1B program remains open. The proclamation imposes a payment requirement on certain new petitions rather than banning the visa, and courts have blocked the agency policies used to collect it.

Do current H-1B holders have to pay $100,000?

No. The payment does not apply to people who already hold a valid H-1B visa or an approved petition filed before the cutoff, and it does not apply to extensions, renewals, or amendments.

Can I travel internationally on my H-1B?

Current holders with a valid visa are generally not subject to the payment, and government guidance has said the proclamation does not restrict their travel. Rules can change, so consult an attorney before you go and carry your supporting documents.

Is the $100,000 H-1B fee annual?

No. It is a one-time payment tied to a covered new petition, not an annual charge on every H-1B employee.

Is the $100,000 fee being collected right now?

No. Federal courts in Massachusetts and California have vacated the implementing policies, including as applied to the September 2026 extension. The government is appealing, so this could change.

What is the proposed $103,265 H-1B fee?

It is a separate DHS proposal, published August 25, 2026, for cap-subject H-1B petitions. It has not been finalized.

Does the payment apply to change of status petitions filed inside the U.S.?

According to USCIS guidance, no. A qualifying change of status from inside the United States, such as F-1 to H-1B, is not subject to the payment, provided it is approved as a change of status.

How do I know if my case is affected?

It depends on whether the beneficiary is inside or outside the U.S., whether they hold a valid H-1B visa, the filing date, and the type of notification requested. A short consultation with an immigration attorney is the safest way to confirm.

Sources and further reading

• Mintz: Presidential Proclamation Extends $100K H-1B Fee (September 23, 2026)
• Klasko Immigration Law Partners: $100,000 H-1B Proclamation Extended and Executive Order Issued (September 23, 2026)
• CUPA-HR: Trump Renews H-1B $100,000 Fee and Signs Executive Order (September 22, 2026)
• Forbes: Judge Strikes Down Latest Version Of $100,000 H-1B Immigration Fee (October 1, 2026)
• Bloomberg Law: Trump Appeals Court Loss That Blocked $100,000 H-1B Fee Policies (October 12, 2026)
• SHRM: $100,000 H-1B Fee Extended Through 2027 (September 21, 2026)
• Ogletree: Administration Appeals Ruling Striking Down $100,000 H-1B Fee Requirement

Attorney advertising. Not legal advice. This article provides general information about U.S. immigration law as of October 19, 2026, and is not a substitute for advice from a licensed attorney. Immigration policy and court rulings change frequently, and reading this article does not create an attorney-client relationship with Malik Law PLLC. Past results do not guarantee a similar outcome. [ADD STATE-SPECIFIC ADVERTISING DISCLOSURES AS REQUIRED.]