Chapter XIIHigh-Risk
Article 99
Penalties
Plain-Language Summary
Three-tier penalty structure: (1) Up to €35M or 7% of global turnover for prohibited practice violations; (2) up to €15M or 3% for other obligations; (3) up to €7.5M or 1% for providing false information. SMEs pay the lower amount.
Keywords
penaltiesfinesenforcementadministrative fines7%3%1%SMEcompliance
Legal Text
Article 99 — Penalties 1. Non-compliance with the prohibition of the AI practices referred to in Article 5 shall be subject to administrative fines of up to EUR 35,000,000 or, if the offender is a company, up to 7% of its total worldwide annual turnover for the preceding financial year, whichever is higher. 2. Non-compliance of the AI system with any requirements or obligations under this Regulation, other than those referred to in Article 5, shall be subject to administrative fines of up to EUR 15,000,000 or, if the offender is a company, up to 3% of its total worldwide annual turnover for the preceding financial year, whichever is higher. 3. The supply of incorrect, incomplete or misleading information to notified bodies and national competent authorities shall be subject to administrative fines of up to EUR 7,500,000 or, if the offender is a company, up to 1% of its total worldwide annual turnover for the preceding financial year, whichever is higher. 4. For small and medium enterprises, including start-ups, administrative fines shall be set at the lower of the amounts referred to in paragraphs 1, 2 and 3 respectively.