US Citizenship Fee Hike Proposal Could Hit Indian Green Card Holders Hard as Naturalization Costs May Jump by Up to 80%

Thousands of Indian Green Card holders seeking US citizenship fee hike relief could soon face significantly higher costs after the US Department of Homeland Security (DHS) proposed a sweeping increase in naturalization fees while eliminating long-standing fee waivers and reduced-cost options. If implemented, the proposal would raise application fees by as much as 80%, making the path to American citizenship substantially more expensive for legal permanent residents.

The proposal, issued through the US Citizenship and Immigration Services (USCIS), comes at a time when Indians continue to rank among the largest groups acquiring US citizenship through naturalization. While the rule is not yet in effect, it has entered a mandatory 60-day public comment period before any final decision is made.

Citizenship Applications Could Become Significantly More Expensive

Under the proposed rule, applicants filing Form N-400 the standard application for naturalization would see a sharp increase in costs.

For paper applications, the filing fee would rise from $760 to $1,330, representing a 75% increase. Online applicants would pay $1,280 instead of $710, an increase of roughly 80%.

The proposal also targets Form N-336, which allows applicants to request a hearing after a citizenship application has been denied. Paper filing fees would increase from $830 to $1,475, while online submissions would rise from $780 to $1,425.

Overall, eligible immigrants applying for citizenship could pay approximately $570 more than under the current fee structure.

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Fee Waivers and Reduced Rates Set to Disappear

One of the most significant changes is the proposed elimination of financial assistance for naturalization applicants.

Currently, immigrants with qualifying incomes or financial hardship can apply for reduced filing fees or complete fee waivers. Applicants with household incomes at or below 400% of the Federal Poverty Guidelines are also eligible for a discounted filing fee.

If the proposal is finalized, both the reduced-fee option and fee waivers for Forms N-400 and N-336 would be eliminated.

However, the exemption for members of the US military applying for citizenship would remain unchanged.

According to DHS, previous administrations intentionally kept citizenship-related fees lower to encourage naturalization. The department now argues that the agency should recover a larger share of the actual cost of processing these applications rather than subsidizing them through fees collected for other immigration services.

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Indians Among the Most Affected Groups

The proposed changes carry particular significance for Indian immigrants, many of whom transitioned from H-1B work visas to permanent residency and are now eligible for US citizenship.

Government data shows India has consistently remained the second-largest source country for new US citizens, behind only Mexico.

Naturalization figures illustrate that trend:

  • FY2022: 65,960 Indians became US citizens
  • FY2023: 59,050
  • FY2024: 49,700

Despite the decline in annual numbers, Indian nationals still accounted for roughly 6% of all naturalized US citizens in FY2024, while nearly 3.7 lakh Indians have obtained American citizenship over the past five years.

The higher costs are expected to affect middle-income professionals, retirees and families who previously qualified for reduced filing fees, increasing the financial burden of completing the citizenship process.

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Expert Analysis / What This Means

The proposed fee increase represents more than a routine administrative adjustment it signals a broader shift in how the US government intends to fund immigration services. By removing fee waivers and discounted applications, DHS is placing greater emphasis on full cost recovery rather than encouraging naturalization through lower financial barriers.

For Indian Green Card holders, the impact could be substantial because many have already spent years navigating expensive visa renewals, employment-based immigration processes and permanent residency applications before becoming eligible for citizenship. Adding several hundred dollars in additional costs may delay applications for families already managing significant immigration expenses.

From a policy perspective, critics argue that higher fees could discourage eligible immigrants from pursuing citizenship, potentially affecting civic participation, voting rights and long-term integration into American society. Supporters, however, contend that USCIS must remain financially sustainable as a largely fee-funded agency.

Compared with previous fee revisions, the proposed increases are among the most substantial for naturalization applications and could reshape application trends if adopted without modifications.

Why This Matters

Naturalization provides legal immigrants with benefits that permanent residency does not, including voting rights, eligibility for certain federal jobs, unrestricted travel protections and greater security against deportation in most circumstances.

For many Indian immigrants, obtaining US citizenship represents the final stage of a journey that often spans well over a decade. Any increase in costs therefore affects not only individual applicants but also families planning long-term settlement in the United States.

Immigration experts have also expressed concerns that making citizenship more expensive could disproportionately impact lower-income immigrants who historically relied on fee waivers or reduced-cost applications.

Former DHS official and Globali.ai co-founder Adam Klein noted that while USCIS must recover operational expenses, sharply increasing naturalization fees risks making citizenship less accessible for applicants with modest financial means. He also argued that naturalization has historically been encouraged because it promotes stronger economic mobility, civic participation and long-term integration.

What Happens Next

The proposal has been published as a Notice of Proposed Rulemaking rather than a final regulation.

A 60-day public comment period is now underway, allowing individuals, advocacy organizations and stakeholders to submit feedback before DHS reviews the responses.

Until the rule is finalized, the existing fee structure including current fee waivers and reduced filing options will remain available for eligible applicants.

Following the review process, DHS may adopt the proposal as drafted, revise portions of it based on public feedback or decide against implementing some of the changes altogether.