Why Self-Employment Is Prohibited Under Current TN Visa Rules

Key Takeaways

• Self-employment is explicitly prohibited under the TN visa as of June 4, 2025.
• TN visa holders must work for independent U.S. employers with prearranged job offers.
• Violations may cause application denial, visa revocation, or inadmissibility in the U.S.

As of June 2025, the United States 🇺🇸 has made a major change to the TN visa program that directly affects Canadian and Mexican professionals seeking to work in the country. The U.S. Citizenship and Immigration Services (USCIS) has updated its rules to explicitly prohibit self-employment under the TN visa. This update is now fully in effect, and it is important for both current and future TN visa applicants, as well as employers, to understand what has changed, who is affected, and what steps must be taken to comply with the new requirements.

Summary of What Changed

The most important change is that self-employment is no longer allowed under the TN visa. This means that anyone applying for or currently holding a TN visa must work for a U.S. employer that is completely separate and independent from themselves. The employer must be a real, established business, and the job must be prearranged. The new rules are very clear: if you own or control the company that is offering you the job, or if you are the only person benefiting from the business, you are not eligible for a TN visa.

Effective Dates

• The updated policy became effective on June 4, 2025, when USCIS released new regulations.
• The USCIS Policy Manual was updated in July 2025 to reflect these changes.
• All TN visa applications submitted on or after these dates are subject to the new rules.

Who Is Affected

• Canadian and Mexican citizens applying for a TN visa to work in the United States 🇺🇸.
• Current TN visa holders who may have been working for companies they own or control.
• U.S. employers who hire TN professionals.
• Immigration attorneys and consultants advising TN applicants.
• Entrepreneurs who hoped to use the TN visa to start or run their own business in the United States 🇺🇸.

Why Is Self-Employment No Longer Allowed?

The TN visa was created under the United States-Mexico-Canada Agreement (USMCA), which replaced NAFTA. Its main purpose is to allow certain professionals from Canada 🇨🇦 and Mexico 🇲🇽 to work in the United States 🇺🇸 in specific jobs for a limited time. The U.S. government wants to make sure that the TN visa is used only for real jobs with real employers—not as a way for people to create their own companies just to get a visa.

Key reasons for the change:

• Preventing abuse: The government wants to stop people from setting up fake companies or using the TN visa for self-employment, which is not the visa’s purpose.
• Clear employer-employee relationship: The rules now require a clear, genuine relationship between the employer and the employee. The employer must be independent from the visa holder.
• Protecting the U.S. labor market: By making sure only real employers can sponsor TN workers, the government aims to protect jobs and prevent misuse of the visa system.
• Aligning with treaty intent: The USMCA was designed to help professionals work across borders, not to support business owners or entrepreneurs starting their own companies in the United States 🇺🇸.

What Counts as Self-Employment Under the New TN Visa Rules?

USCIS now defines self-employment very clearly. You are considered self-employed if:

• You own all or most of the U.S. business offering you the job.
• You have full control over the company’s operations.
• You are the main or only person earning money from the company.
• You created the company mainly to support your own TN visa application.

Examples of self-employment that are not allowed:

• Starting a U.S. company (like an LLC) just to offer yourself a job.
• Working as a freelancer or independent contractor for a company you own.
• Creating a consulting business where you are the only employee and client.

What Is Still Allowed?

You can still apply for a TN visa if:

• You have a real job offer from a U.S. employer that you do not own or control.
• The employer is a separate business with its own management and employees.
• The job matches one of the professional categories listed under the USMCA.
• You meet all the education and experience requirements for the job.

Required Actions for Applicants and Employers

If you are planning to apply for a TN visa, or if you are a U.S. employer hiring a TN professional, you must take the following steps to comply with the new rules:

For Applicants:

• Secure a job offer from a U.S. employer that is not owned or controlled by you.
• Gather proof of your education and qualifications that match the job requirements.
• Prepare documentation that clearly shows the employer-employee relationship. This includes an official job offer letter, employment contract, and evidence that the employer is a real, independent business.
• Avoid any arrangements where you are the main owner, manager, or only employee of the company offering you the job.
• Be ready for extra scrutiny at the border or during your visa interview. Officers will look closely at your job offer and the company’s structure.

For Employers:

• Ensure your business is legitimate and operates independently from the TN applicant.
• Provide clear documentation of the job offer, including job duties, salary, and reporting structure.
• Avoid hiring arrangements that could be seen as self-employment, such as hiring someone who owns or controls your company.
• Be prepared to answer questions from USCIS or consular officers about your business and the nature of the job.

For Current TN Visa Holders:

• Review your employment situation to make sure you are not in violation of the new rules.
• If you are working for a company you own or control, you may need to change employers or switch to a different visa category.
• Consult with an immigration attorney if you are unsure about your status or options.

Implications for Pending Applications

If you have already applied for a TN visa and your application is still being processed, the new rules will apply to your case if a decision has not yet been made. This means:

• Applications involving self-employment will likely be denied.
• If your application is denied, you may need to seek other visa options or reapply with a job offer from an independent U.S. employer.
• If you are already in the United States 🇺🇸 on a TN visa and working for your own company, you could face visa revocation or be found inadmissible in the future.

Consequences of Violating the New Rules

The consequences for not following the new self-employment prohibition are serious:

• Application denial: Your TN visa application will be denied if USCIS or a consular officer finds that you are self-employed or working for a company you control.
• Visa revocation: If you are already in the United States 🇺🇸 and found to be violating the rules, your visa can be revoked.
• Inadmissibility: You may be barred from entering the United States 🇺🇸 in the future if you are found to have misused the TN visa program.

Alternatives for Entrepreneurs and Self-Employed Individuals

If your goal is to start or run your own business in the United States 🇺🇸, the TN visa is no longer an option. However, there are other visa categories that may be a better fit:

• E-1 Treaty Trader Visa: For citizens of countries that have a treaty with the United States 🇺🇸, who want to carry out substantial trade between the U.S. and their home country.
• E-2 Investor Visa: For citizens of treaty countries who want to invest a significant amount of money in a U.S. business and direct its operations.
• Other options: Depending on your background and business plans, you may also consider the L-1 Intracompany Transfer visa or even permanent residency (green card) options.

For more information on these alternatives, visit the official USCIS TN Visa Information page.

Background and Historical Context

The TN visa was first created under NAFTA in 1994 to make it easier for Canadian and Mexican professionals to work in the United States 🇺🇸. For many years, the rules about self-employment were not always clear, and some people were able to use the TN visa to work for companies they owned or controlled. However, as reported by VisaVerge.com, recent policy updates in 2024 and 2025 have made the rules much stricter. The government now wants to make sure the TN visa is used only for its original purpose: temporary professional employment with real U.S. employers.

Expert Perspectives

Immigration attorneys stress that the new rules are a critical compliance issue. They advise all TN applicants to make sure their job offers come from established, independent U.S. employers. Employers are also being warned to avoid any arrangements that could be seen as self-employment, as this could put their business and the applicant at risk.

USCIS officials have explained that these updates are meant to protect the integrity of the TN visa program and ensure it serves its intended purpose under the USMCA. There is no sign that the self-employment ban will be relaxed in the near future, and enforcement is expected to remain strict.

Practical Guidance and Next Steps

If you are considering applying for a TN visa, or if you are already in the United States 🇺🇸 on a TN visa, here are the steps you should take right now:

1. Check your employment arrangement: Make sure your job offer is from a real, independent U.S. employer. If you have any ownership or control over the company, you may not be eligible for the TN visa.
2. Gather strong documentation: Collect all documents that show your employer is a separate business, your job is real, and you meet the job requirements.
3. Consult an immigration attorney: If you have any doubts about your eligibility or your current situation, get professional legal advice.
4. Consider other visa options: If you want to start your own business, look into the E-1 or E-2 visa categories, or other options that are designed for entrepreneurs.
5. Stay updated: Immigration rules can change quickly. Always check the latest information from USCIS and the U.S. Department of State before applying.

Summary Table of Key Points

Official Resources

• For the most up-to-date and official information on the TN visa, including eligibility, application process, and policy updates, visit the USCIS TN Visa Information page.
• For details on E-1 and E-2 visas, check the U.S. Department of State website.
• If you need legal advice, consult a qualified immigration attorney who specializes in TN visas and U.S. work visas.

Conclusion

The new rules on self-employment for the TN visa are now clear and strictly enforced. All applicants must have a real job offer from an independent U.S. employer, and any form of self-employment is not allowed. This change affects both new and pending applications, as well as current TN visa holders. If you are planning to work in the United States 🇺🇸 under the TN visa, make sure you understand these new requirements and take the necessary steps to comply. If your plans involve starting or running your own business, explore other visa options that are designed for entrepreneurs. Staying informed and following the rules will help you avoid problems and make the most of your opportunities in the United States 🇺🇸.

Learn Today

TN Visa → A temporary work visa for Canadian and Mexican professionals under the USMCA agreement.
Self-Employment → Working for a business that you own or control, disallowed under new TN rules.
USCIS → U.S. Citizenship and Immigration Services, the agency enforcing immigration and visa policies.
USMCA → United States-Mexico-Canada Agreement, governing trade and professional work visas like TN.
Visa Revocation → Official cancellation of a visa due to rule violations, including self-employment prohibitions.

This Article in a Nutshell

USCIS updated the TN visa rules in June 2025, banning self-employment. Canadian and Mexican professionals must work solely for independent U.S. employers, ensuring clear employer-employee relationships to maintain visa eligibility and uphold USMCA provisions, preventing misuse and protecting the U.S. labor market.
— By VisaVerge.com