depending on the infringement

 

Penalties for non-compliance can lead to fines ranging from €35 million or 7% of global turnover to €7.5 million or 1.5 % of turnover, depending on the infringement and size of the company, per the parliament.

The Council’s PR further stipulates that the higher sanction (7%) would apply for violations of the banned AI applications, while penalties of 1.5% would be levied for the supply of incorrect information.

Additionally, it says sanctions of 3% could be imposed for violations of other AI Act obligations but also notes that the provisional agreement allows for “more proportionate caps” on administrative fines for SMEs and start-ups in case of infringements.