By Team INVC | INVC NEWS
WASHINGTON, United States | September 19, 2026 — US President Donald Trump has extended restrictions linked to a $100,000 payment requirement for certain H-1B visa petitions for another 12 months, keeping one of his administration’s most consequential skilled-immigration policies in place through September 21, 2027.
The move carries particular significance for Indian professionals and technology companies because India has historically accounted for the largest share of approved H-1B petitions.
US Citizenship and Immigration Services data for fiscal year 2024 showed that 71% of approved H-1B petitions involved beneficiaries born in India. China ranked second at about 12%.
Importantly, the 71% figure refers to FY2024 approvals and should not be presented as a new 2026 market-share figure.
Trump Extends H-1B Restrictions for 12 Months
President Trump signed the new proclamation on September 18, extending restrictions first imposed in September 2025.
Under the policy, entry into the United States for certain H-1B specialty occupation workers is restricted unless the relevant petition is accompanied or supplemented by a $100,000 payment.
The renewed restrictions will continue for another 12 months.
However, the policy does not mean that every existing H-1B visa holder must suddenly pay $100,000.
Its application depends on the worker’s immigration circumstances, petition type and whether entry into the United States is required under the covered provisions.
India Could Feel the Biggest Effect
India’s exposure to any major H-1B policy change remains substantial because Indian technology professionals have long formed the largest group of H-1B beneficiaries.
According to USCIS data for FY2024, beneficiaries born in India represented 71% of approved H-1B petitions.
That dominance means Indian workers, outsourcing companies, consulting firms and US employers recruiting from India are likely to watch the extended policy particularly closely.
Higher immigration costs could push companies to rethink when they relocate employees to the United States and when they keep engineering, software development and other high-value work offshore.
What Does the $100,000 Requirement Actually Mean?
The proclamation restricts the entry of certain H-1B workers unless their petitions carry the required $100,000 payment.
It is therefore more accurate to describe the measure as a $100,000 payment requirement tied to certain H-1B entries and petitions, rather than a universal annual fee imposed on every H-1B worker.
The proclamation also gives the US Department of Homeland Security discretion to grant exceptions where the hiring is determined to be in the national interest and does not pose a threat to US security or welfare.
That distinction is crucial for Indian workers already living in the United States, students changing status, employees seeking renewals and companies filing different categories of H-1B petitions.
White House Says Earlier Move Changed H-1B Hiring
The Trump administration says the original 2025 policy produced major changes in H-1B recruitment.
According to the White House, combined registrations from the largest IT staffing and outsourcing firms dropped from 24,946 to 2,055, a decline of about 92%.
The administration also said requests involving consular processing fell sharply between the FY2025 and FY2027 cap seasons.
Meanwhile, the White House said the share of registrations involving beneficiaries with at least a US master’s degree increased substantially.
These figures form part of the administration’s argument that the policy has shifted the H-1B system toward higher-paid and more highly skilled workers.
Trump Orders More Scrutiny of Companies
The H-1B extension is not the only change.
President Trump also signed a separate executive order directing US agencies to increase coordination and scrutiny of companies using the H-1B program.
US authorities have been instructed to consider whether an employer recently laid off American workers, or plans to do so, when reviewing certain H-1B-related applications and petitions.
The administration says its objective is to prevent employers from using foreign workers to displace similarly situated US employees.
Business groups and technology-sector representatives, however, have long argued that H-1B workers help companies fill specialized skill shortages.
Legal Battle Over $100,000 Policy Continues
The extended policy also faces an important legal complication.
The $100,000 requirement has been challenged in US courts, and litigation over the administration’s authority to impose the charge remains unresolved.
A federal judge previously ruled against the fee, while appeals proceedings have continued.
Therefore, the latest presidential proclamation extends the administration’s policy position, but the final legal status and enforcement framework could continue to depend on court decisions.
For employers and prospective H-1B workers, that means the regulatory picture remains fluid.
Why Indian IT Companies Will Watch Closely
Indian IT companies have spent years reducing their dependence on sending employees from India to US client locations.
Many have increased local hiring in America while simultaneously expanding delivery centres in India.
A sustained $100,000 payment requirement could accelerate that shift.
Instead of relocating a software engineer to the United States, some companies may decide that more development, analytics, artificial intelligence and back-office work can remain in India.
That could create a complicated outcome.
The policy may reduce one route for Indian professionals seeking US employment while potentially encouraging multinational companies to expand high-value teams inside India.
What Indian H-1B Applicants Should Watch Next
Three developments will now matter most: implementation guidance from US immigration authorities, decisions on national-interest exemptions, and the outcome of ongoing court challenges.
Applicants should also distinguish between new petitions requiring entry into the United States and cases involving workers already present in the country.
For Indian technology professionals, employers and students planning long-term US careers, the H-1B environment has entered another period of uncertainty.
The policy has been extended for another year, but its ultimate impact will depend on how US agencies implement the proclamation and how American courts rule on the disputed $100,000 requirement.
