The commission found Forest’s losses to 2022-23 breached the threshold of £61m by £34.5m over a three-year period.
Forest were initially due to be hit with a six-point deduction – three points for the initial breach and a further three for the size of the breach – but their “early plea” and “co-operation” saw that reduced to four points.
In response to that points deduction, Forest said they were “extremely disappointed” with the decision and would appeal.
“We were extremely dismayed by the tone and content of the Premier League’s submissions before the commission,” a club statement read.
“After months of engagement with the Premier League, and exceptional cooperation throughout, this was unexpected and has harmed the trust and confidence we had in the Premier League.”
It has now been reported by The Athletic that the club has been unsuccessful in their appeal against the four-point deduction.
The three-person appeal board arrived at a “unanimous” decision to uphold the original ruling by the commission, describing it as “commendably clear and comprehensive”.
“Some of the criticisms of the [original] decision have involved a minute examination of the words used by the commission,” the board said of Forest’s appeal.
“Decisions such as these should not be subjected to microscopic forensic examination and interpreted as if they were statutes which have been drafted by parliamentary counsel.”
“Allegations of infelicities of language or errors which are not material to the ultimate decision add to the complexity and costs of proceedings and are rarely likely to lead to a successful challenge of a decision.”
That decision keeps Forest in 17th place in the Premier League, just three points above the relegation zone with two games remaining.
Luton however currently occupies the 18th place, with second-bottom Burnley two points further back.
Last November, Everton were docked 10 points for breaching PSR, reduced to six on appeal. The Toffees were hit were a further two-point deduction in March for a second breach, which they have appealed against; however, they are safe from relegation.
The club have been charged with misconduct by Football Association after the social media post questioned the integrity of the video assistant referee (VAR).
Forest had three penalty claims rejected and the club claimed they told referees body the Professional Game Match Officials Limited (PGMOL) that the game’s video assistant referee (VAR) Stuart Attwell was allegedly a fan of relegation rivals Luton.
Despite the critical post on social media, BBC Sport has been told that Forest did not ask for Attwell to be replaced prior to the match.
Forest next face in-form Chelsea on Saturday before ending the season away at relegation rivals Burnley on May 19.
Timeline guide to Forest & Everton cases
24 March 2023:Â Premier League refers Everton to independent commission over alleged breach of financial fair play rules for the three-year accounting period ending with the 2021-22 season.
17 November 2023:Â Everton receive an immediate 10-point deduction after being found to have breached the Premier League’s financial rules.
15 January 2024:Â Everton and Nottingham Forest are charged by the Premier League for breaches of the league’s profit and sustainability rules.
26 February:Â Everton’s first penalty for breaching Premier League financial rules is reduced from 10 points to six after an appeal.
7-8 March:Â Forest’s hearing takes place.
18 March: Forest are docked four points and drop into relegation zone. An independent commission found Forest’s losses to 2022-23 breached the threshold of £61m by £34.5m.
Week commencing 25 March:Â Hearing for Everton’s second charge, relating to three-year accounting period ending in 2022-23, takes place this week.
8 April:Â Everton receive second points deduction, this time docked two points.
24 April:Â Forest’s appeal against their four-point punishment is heard.
7 May:Â Independent appeal board upholds commission’s decision to deduct Forest four points.
19 May:Â Final day of the Premier League season.
24 May:Â Latest possible date for an appeal hearing to be concluded.