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The AI Act sets tiered penalties for prohibited practices and compliance failures. Here’s what triggers them and how to reduce risk.
The AI Act introduces tiered penalties. The highest tier targets prohibited practices and can reach €35M or 7% of global turnover. Most other obligations carry penalties up to €15M or 3% of global turnover. There are lower tiers for supplying incorrect or misleading information.
#What triggers the top tier - Prohibited practices (Article 5) such as manipulative or exploitative uses. - Deployments that bypass mandatory safeguards.
#What triggers the mid tier - Failing core obligations for high-risk systems. - Missing technical documentation, logging, or human oversight. - Weak post-market monitoring.
#How to reduce risk now 1. Classify every AI use case (high-risk, limited, minimal). 2. Document training data sources and governance. 3. Create a human-oversight plan with clear escalation. 4. Train staff on AI literacy and obligations. 5. Generate an audit pack for procurement and regulators.
RegulaAI gives you a structured audit report so you can move fast without guessing.
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