Avoiding the New $100,000 H-1B Fee for Canadians

Who is subject to the $100,000 payment

The Proclamation applies to new H-1B petitions filed at or after 12:01 a.m. EDT on September 21, 2025, for beneficiaries who are:

• Outside the United States, and
• Do not have a valid H-1B visa at the time of filing.

It also applies if the petition requests consular notification, port of entry notification, or pre-flight inspection. In addition, if a petition filed on/after the effective time requests an amendment, extension of stay, or change of status and USCIS determines the individual is ineligible (for example, not maintaining a valid status, or the person departs the U.S. before a change of status is adjudicated), the payment will still apply per USCIS instructions.

How to pay the $100,000 payment (if required)

Petitioners must submit the required $100,000 payment through pay.gov, following the on-screen instructions. Keep the proof of scheduled payment for filing.

When to pay

Payment must be made before filing the H-1B petition with USCIS. Petitions subject to the payment must include:

• Proof that payment has been scheduled on pay.gov, or
• Evidence of an exception from the Secretary of Homeland Security.

Petitions filed without the required evidence will be denied.

How Canadians can avoid the $100,000 H-1B fee

1) Use TN status under the USMCA

Canadian citizens may qualify for TN status for a wide range of professional roles under the USMCA. TN status:

• Does not require the H-1B lottery or cap.
• It is commonly obtained at a U.S. port of entry with proof of citizenship, an employer letter in a TN-eligible occupation, and required credentials.
• Does not trigger the $100,000 H-1B payment.

2) File an in-country H-1B change of status

If the Canadian professional is already lawfully in the U.S. (e.g., TN, F-1, L-1), the employer can file an
H-1B change of status request. To avoid the fee:

• The individual must maintain a valid status until approval, and
• Avoid international travel before the change of status is approved (to prevent converting the case into consular processing).

3) Avoid consular processing where possible

The Proclamation primarily targets visa issuance abroad. Structuring the case so the worker does not require consular notification can keep the filing out of scope for the payment. After a status change is approved, the individual may remain in the U.S. and travel later under an approved petition or an existing H-1B visa, without becoming subject to the fee.

4) Consider alternative visa categories

Depending on the facts, alternatives such as L-1 (intracompany transferee), E-1/E-2 (treaty trader/investor), or a short-term B-1 for limited business activities may be viable paths that are outside the payment’s scope.

Key takeaways

• The $100,000 payment applies to new H-1B cases filed on/after Sept. 21, 2025, for certain individuals outside the U.S. without a valid H-1B visa.
• Canadians can often avoid the fee via TN status or an H-1B change of status inside the U.S.
• Maintain status and avoid travel before a change of status is approved to prevent triggering consular processing.
• If the fee applies, pay it before filing via pay.gov and include proof with the petition.

Frequently Asked Questions

Does the payment apply to existing H-1B visa holders?

No. It does not apply to previously issued, currently valid H-1B visas, or petitions submitted before 12:01 a.m. EDT on Sept. 21, 2025.

If I file a change of status inside the U.S. and it is granted, will I be subject to the payment if I later travel?

No. Suppose USCIS grants the amendment/change/extension for someone inside the U.S.. In that case, that beneficiary is not considered subject to the payment even if they later depart and apply for a visa based on the approved petition and/or re-enter on a current H-1B visa.

When exactly must payment be made if my case is subject to it?

Before filing with USCIS, you must include proof of a scheduled payment from pay.gov or evidence of an exception from DHS with the petition, or it will be denied.