Article 43 · Regulation (EU) 2022/2065
Supervisory fee
An annual fee funding the Commission’s supervision, capped at 0.05% of the provider’s worldwide annual net income.
- Applies to
- VLOPs and VLOSEs
- Frequency
- Annual
Designated providers pay the Commission an annual supervisory fee. The fee is proportionate to the number of average monthly active recipients of each designated service in the Union, and is calculated to cover the Commission’s estimated supervision costs for the year.
No provider pays more in any year than 0.05% of its worldwide annual net income in the preceding financial year. A delegated regulation adopted on 2 March 2023 sets the methodology: coefficients derived from a service’s active recipients are applied against the Commission’s supervisory costs, with the provider’s economic capacity taken into account.
The fee is not a penalty and is unrelated to compliance. It is the mechanism by which supervision funds itself.
It has been litigated. Meta and TikTok both challenged the fee methodology before the General Court, in substance arguing that basing the cap on group-level profit produces arbitrary results — including a fee of zero for a loss-making provider of the same size.
Worth knowing
- Because the cap keys on net income rather than turnover, a loss-making designated service can owe nothing.
- The fee is distinct from Article 74 fines, which reach 6% of worldwide annual turnover.