---
kind: "section"
citation: "12 C.F.R. § 217.403"
title: "12"
number: "217.403"
heading: "GSIB surcharge."
url: "https://uscodex.org/cfr/12/217.403"
---

# §217.403. GSIB surcharge.

- (a) **General.** Subject to [§ 217.400(b)(2)](/cfr/12/217.400.md?p=b-2), a company identified as a global systemically important BHC pursuant to [§ 217.402](/cfr/12/217.402.md) must calculate its GSIB surcharge on an annual basis by December 31 of each year. For any given year, subject to [paragraph (d)](#d) of this section, the GSIB surcharge is equal to the greater of:
  - (1) The method 1 surcharge calculated in accordance with [paragraph (b)](#b) of this section; and
  - (2) **The method 2 surcharge calculated in accordance with paragraph (c) of this section.**
- (b) **Method 1 surcharge—**
  - (1) **General.** The method 1 surcharge of a global systemically important BHC is the amount set forth in Table 1 of this section that corresponds to the global systemically important BHC's method 1 score, calculated pursuant to [§ 217.404](/cfr/12/217.404.md).
  - (2) **Higher method 1 surcharges.** To the extent that the method 1 score of a global systemically important BHC equals or exceeds 630 basis points, the method 1 surcharge equals the sum of:
    - (i) 4.5 percent; and
    - (ii) An additional 1.0 percent for each 100 basis points that the global systemically important BHC's score exceeds 630 basis points.
- (c) **Method 2 surcharge—**
  - (1) **General.** The method 2 surcharge of a global systemically important BHC is the amount set forth in Table 2 of this section that corresponds to the global systemically important BHC's method 2 score, calculated pursuant to [§ 217.405](/cfr/12/217.405.md).
  - (2) **Higher method 2 surcharges.** To the extent that the method 2 score of a global systemically important BHC equals or exceeds 1130 basis points, the method 2 surcharge equals the sum of:
    - (i) 6.5 percent; and
    - (ii) An additional 0.5 percent for each 100 basis points that the global systemically important BHC's score exceeds 1130 basis points.
- (d) **Effective date of an adjusted GSIB surcharge—**
  - (1) **Increase in GSIB surcharge.** An increase in the GSIB surcharge of a global systemically important BHC will take effect (i.e., be incorporated into the maximum payout ratio under Table 1 to [§ 217.11](/cfr/12/217.11.md)) on January 1 of the year that is one full calendar year after the increased GSIB surcharge was calculated.
  - (2) **Decrease in GSIB surcharge.** A decrease in the GSIB surcharge of a global systemically important BHC will take effect (i.e., be incorporated into the maximum payout ratio under Table 1 to [§ 217.11](/cfr/12/217.11.md)) on January 1 of the year immediately following the calendar year in which the decreased GSIB surcharge was calculated.

## Notes

### Authority

Authority: 12 U.S.C. 5365.

### Source

Source: Reg. Q, 80 FR 49105, Aug. 14, 2015, unless otherwise noted.

### Authority

Authority: 12 U.S.C. 248(a), 321-338a, 481-486, 1462a, 1467a, 1818, 1828, 1831n, 1831o, 1831p-1, 1831w, 1835, 1844(b), 1851, 3904, 3906-3909, 4808, 5365, 5368, 5371, 5371 note, and sec. 4012, Pub. L. 116-136, 134 Stat. 281.

### Source

Source: Reg. Q, 78 FR 62157, 62285, Oct. 11, 2013, unless otherwise noted.