H1B Extension with Valid H1B Visa already in passport

Hello All,
I have valid H1B Visa on my passport until August 2023. I have received the new H1B petition with same employer starting from August 2023 to August 2026. I have booked an appointment for drop box in India on May 2023. Since I have valid visa until August 2023 and my new petition starts at August 2023. Does consulate stamp the visa? And how the validity will be decided. Thanks.

Generally speaking, H1B visa validity is 3 years from the date of stamping or till your I-797 PED, whichever is shorter. You can apply using your new I-797 and also attach your current I-797 so you can get 3 years from date of stamping if applying before the start date on your new I-797 or till your new I-797 if applying after the start date.
Make sure to present both current and new I-797 to CBP at POE at the time of entering back and double check the expiry date on the online I-94 after couple of days of entering. It should match your I-797 expiry.
Also make sure your passport is valid beyond the expiry of your new I-797 otherwise CBP will issue I-94 till the passport expiry.

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Thank you Kalpesh. It is very helpful information.