It uses tiered maximums scaled to the violation's: How does the EU AI Act structure its administrative fines

The Act imposes tiered fines scaled to severity, with the highest ceilings for prohibited-practice breaches and lower ones for other failures.

The question

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1. It sets one flat monetary fine that is identical for every single breach, applied entirely uniformly regardless of whether a serious prohibited practice or a minor information error is involved.

   Plausible because flat fines are simple, but the Act uses tiered maximums that vary by the seriousness of the violation, not a single uniform amount.
2. It uses tiered maximums scaled to the violation's seriousness, with the highest ceilings for prohibited-practice breaches and lower ceilings for other obligation or information failures. ✓

   Correct: penalties are tiered by severity, with prohibited-practice violations facing the highest caps and lesser breaches facing lower caps, often expressed as a euro amount or a share of turnover.
3. It relies solely on criminal imprisonment of named executives and provides for no administrative monetary fines against the offending providers or deployers at all.

   Almost plausible given enforcement rhetoric, but the Act's core mechanism is administrative fines, not a criminal-only regime targeting executives.
4. It caps all penalties at a fixed low nominal sum per system so that fines never scale with a company's size, turnover, or the gravity of the infringement.

   Plausible-sounding but the Act ties top penalties to global turnover percentages, so fines can scale with company size and severity rather than a fixed low cap.

How to remember it

The Act imposes tiered fines scaled to severity, with the highest ceilings for prohibited-practice breaches and lower ones for other failures.

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