Key facts

  • Prohibited practice violations: up to 7% of global turnover or €35 million, whichever is higher.
  • High-risk system obligation violations: up to 3% of global turnover or €15 million, whichever is higher.
  • Incorrect information to authorities: up to 1% of global turnover or €7.5 million, whichever is higher.
  • Fines apply per violation and are set by national supervisory authorities within EU-set limits.
  • SMEs and startups may face proportionately lower fines under the Act's provisions.

The three penalty tiers

The EU AI Act sets three broad penalty tiers. The most serious — deploying an AI system engaged in a prohibited practice — carries fines up to 7% of global annual turnover or €35 million, whichever is higher. Violations of obligations for high-risk AI systems, providers or deployers carry fines up to 3% of turnover or €15 million. Supplying incorrect, incomplete or misleading information to authorities carries fines up to 1% of turnover or €7.5 million.

Who sets and enforces fines

National market surveillance authorities in each EU member state are responsible for enforcement within the framework set by the Regulation, meaning practical enforcement detail can vary somewhat by country even though the maximum fine levels are set at EU level.

Proportionality for SMEs

The Act includes provisions intended to ensure fines are proportionate to an organisation's size and economic situation, particularly for SMEs and startups — though this does not mean smaller organisations are exempt from compliance obligations.

Why this matters beyond the headline figures

Even where the theoretical maximum fine does not apply to a given organisation's situation, the reputational and commercial cost of a public enforcement action can be significant in its own right, which is a strong practical reason to prioritise compliance regardless of an organisation's specific fine exposure.

Frequently asked questions

What is the maximum fine under the EU AI Act?

Up to 7% of global annual turnover or €35 million, whichever is higher, for prohibited AI practice violations.

What is the fine for high-risk AI system violations?

Up to 3% of global annual turnover or €15 million, whichever is higher.

What is the fine for supplying incorrect information to authorities?

Up to 1% of global annual turnover or €7.5 million, whichever is higher.

Who enforces EU AI Act fines?

National market surveillance authorities in each EU member state, within limits set by the Regulation.

Do SMEs get lower fines under the EU AI Act?

The Act includes proportionality provisions for SMEs and startups, though this does not exempt them from compliance obligations.

Related pages

Sources

Last updated 19 June 2026.