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A Boston judge erased the hundred-thousand-dollar H-1B fee on Monday and saw it back by Friday

Is the $100,000 H-1B Fee Really Gone for Indian MBA Applicants?

Gauri Manohar
Gauri Manohar
6 min read · Jun 16, 2026

If you are an Indian MBA applicant who picked a US programme partly because the H-1B path still felt achievable, your stomach probably moved twice this past week. On Monday, a federal judge in Boston struck down the $100,000 H-1B visa fee that has been pricing your future employer out of sponsoring you. By Friday, the same judge had paused his own order, the fee was back, and the case was on its way to the First Circuit Court of Appeals. This post is for the worried Indian applicant trying to read this whiplash before the June 30 FY2027 petition deadline.

What actually happened in Boston

On June 8, 2026, U.S. District Judge Leo Sorokin of the District of Massachusetts issued a ruling in State of California, et al. v. Mullin, et al. that vacated the USCIS guidance implementing the $100,000 fee on certain new H-1B petitions. Twenty state attorneys general had sued the Trump administration in December 2025, arguing the fee was an unconstitutional tax that Congress never authorised and that the agency rollout violated the Administrative Procedure Act. Judge Sorokin agreed on both counts. CNBC reported the decision the same evening, calling it a clean win for the plaintiffs.

Four days later, on June 12, Judge Sorokin issued a temporary administrative stay of his own vacate order while the government took the case to the First Circuit. The practical effect: USCIS is back to collecting the $100,000 fee on petitions filed for, or only approvable through, consular notification. Klasko Immigration Law Partners summarised the reinstatement the next business day. The government has until June 18 to file its formal motion for a longer stay pending appeal. Until the First Circuit rules on that motion, the fee stands.

Why this matters in the next two weeks

The FY2027 H-1B cap filing window closes on June 30, 2026. Every employer who won the lottery for your future profile has to decide, right now, whether to write a $100,000 cheque per petition or wait and hope the First Circuit kills the fee in time. According to Fragomen's June 12 client alert, most large employers are filing with the fee paid, on the assumption that a refund is easier to claim later than a missed petition is to recover. Smaller employers, and consulting firms with thin margins per H-1B head, are more likely to skip filings entirely.

That is the lever Indian applicants need to watch. The fee does not just raise the cost of sponsoring you; it changes who sponsors you. A Big 4 consulting firm or a top US bank can absorb $100,000 to keep an INSEAD or Wharton MBA hire. A regional health-tech startup in Austin probably cannot. The pool of US employers willing to play the H-1B game is narrowing toward the largest names, and the largest names hire heaviest from M7 and a handful of European top-10 programmes.

Common questions Indian MBA applicants are asking this week

Does this affect the H-1B I already have, or my STEM OPT?

No. The fee applies only to new H-1B petitions filed after September 21, 2025. If you are already on an approved H-1B or carrying a valid H-1B visa stamp, you are outside the proclamation's scope. USCIS confirmed this in its September 21, 2025 FAQ and reiterated it in the post-ruling guidance. STEM OPT extensions are an F-1 employment authorisation; the $100,000 fee does not touch them.

My company won the FY2027 lottery for me. Will they still file?

Ask, in writing, by Friday. Companies that won lottery slots have until June 30 to file the cap petition. Some Indian IT services giants, according to reporting from Trak.in, are looking at combined exposure north of $2.25 billion if every selected petition is filed at the new fee. Several are reportedly cutting selected petitions by 30 to 50 percent. If your name is in that pool, you have a right to know which side of the cut you are on.

Could the First Circuit kill the fee before June 30?

Possible but not likely. Appellate courts can issue emergency rulings on stay motions in days, but the First Circuit's typical timeline for substantive rulings is weeks to months. The most realistic near-term outcome is that the stay holds, the fee is collected on FY2027 petitions, and the underlying appeal is decided later in 2026 or 2027. A parallel case in the D.C. Circuit, Chamber of Commerce v. DHS (No. 25-5473), already upheld the proclamation in December 2025, so the First Circuit and D.C. Circuit may eventually split, which would tee up a Supreme Court review.

Should I switch my MBA target away from the US because of this?

Not on the basis of one week of headlines. The structural shift to be planning for is the combination of the $100,000 fee, the wage-weighted lottery (Level 4 wages were selected at roughly 61 percent in FY2027 versus 15 percent at Level 1), and the proposed end of Duration of Status. Together those mean the US H-1B path now strongly favours candidates whose post-MBA salary will sit at Level 3 or Level 4. If your target role is investment banking, top-tier consulting, or product management at a FAANG, you are likely still in the band where employers absorb the fee and the wage weight works for you. If your target is general management at a mid-market firm, the math has shifted enough that European or Singapore programmes deserve a second look.

What this means for Indian applicants

The honest read of June 8 to June 16 is that the courts have signalled the fee is legally vulnerable, but the political reality is that the fee will be collected through the FY2027 cycle. Plan as if you will be H-1B sponsored under the current fee regime, and treat any First Circuit reversal as a windfall, not a baseline.

For applicants currently in Round 1 prep for fall 2027 intake, two changes to your file follow from this week's news. First, the school's post-MBA salary distribution at your target function matters more than its overall ranking, because wage levels now determine lottery weight. Second, the school's career office track record with H-1B sponsorship is no longer an abstract data point. Ask for the exact number of international hires sponsored in the most recent class, not the percentage. A 90 percent international placement rate that becomes 60 percent post-fee is a different programme than the brochure says it is.

If you want a structured read of how this changes your specific target list, our profile evaluation covers the school-by-school H-1B sponsorship math for fall 2027 applicants, and our MBA and MiM service helps you sequence applications across US and European programmes once you have a calibrated read.


Sources verified June 16, 2026. Next review: January 1, 2027.

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