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A L1B is valid for 3 years, and you usually would want to stay on the visa till expiry, however might leave the country for a vacation..

Do you just tell the VO that you'll be staying till the visa is valid, else what do you say?

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When I go through immigration I used to hand over my passport either closed or open to the picture page. I would get asked when I was leaving every time. Now I hand it over open to the visa page and I never get asked. I think they ask the question reflexively because the vast majority of foreigners need to leave at some point and they are trying to speed up the process. When I show them my passport open to the visa page, they start off by asking me, how long I have been gone for. It is a much nicer question to here when you are returning "home". As for how I answered the question in the past, I always answered with: I live and work here now, but my visa ends in 2017 and I will either get an extension before then or leave. I will not overstay.

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You tell them that your contract ends < insert the date of L1b expiration here > and you'll leave once it ends. Unless you plan on finishing the employment and leaving earlier, that is.

Vacations is not "leaving US", you'll be coming back from the vacations.

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