"The Commission determined that Everton FC's PSR Calculation for the relevant period resulted in a loss of £124.5 million ($154.7m), as contended by the Premier League, which exceeded the threshold of £105m permitted under the PSRs."
Everton's most recent figures showed a fifth straight year of losses, with their total loss over that period amounting to over £430m.
The club said they had posted a loss of £44.7m for the 2021-22 season earlier this year.
After three straight years of losses in excess of £100m, Everton said they had made significant reductions to their losses, down £76m from last year's loss of £121m.
The severity of the punishment surprised Everton, who feel a sporting sanction for what they believe is a disagreement over accountancy interpretations is unjust. The decision has put into focus other Premier League investigations and how those clubs will be dealt with if also found guilty.
Manchester City have been charged with more than 100 alleged breaches of the rules by the Premier League but are yet to have a verdict amid legal wrangling on both sides. City have denied wrongdoing. Chelsea are under investigation for alleged breaches relating to the era of Roman Abramovich’s ownership.
Leeds, Leicester, Burnley and Southampton, who were relegated in recent seasons while Everton stayed up, have threatened previously to take legal action and a ruling ... in May agreed the clubs could apply for compensation through the Premier League if Everton were found to have breached financial rules.
Each club has 28 days to pursue a claim against Everton