The British broadcaster engaged in a "significant breach" of industry standards by omitting to mention that the narrator of a programme about Gaza was the offspring of a Hamas representative, as ruled by regulatory body Ofcom.
An investigation by Ofcom into the documentary titled Gaza: How to Survive a Warzone has concluded that the film was "substantially inaccurate".
The head of the BBC had earlier expressed regret, saying there had been "a serious error in relation to accuracy".
The authority has instructed the broadcaster to air a prime-time declaration about its conclusions.
"Since this amounts to a significant violation of our rules, we are ordering the BBC to broadcast a message of our determinations against it on the BBC's second channel at 9pm, with a timing to be determined," the regulator stated.
'Potential to Damage Confidence'
The regulator's announcement said: "Our probe determined that the film's omission to reveal that the presenter's male guardian occupied a role in the Hamas-controlled government was substantially inaccurate.
"It meant that the public did not have essential details which may have been extremely pertinent to their evaluation of the presenter and the information he provided.
"Credibility is at the core of the bond between a media organization and its audience, particularly for a national broadcasting corporation such as the public broadcaster.
"This oversight had the risk to undermine the significantly high degrees of confidence that viewers would have put in a BBC factual programme about the Gaza conflict."
The documentary was pulled from the BBC's streaming service in February after the boy's personal associations came to light, and in the month of July an corporation's own inquiry concluded it breached the corporation's journalistic standards on truthfulness.
A representative for the broadcaster commented: "The Ofcom ruling is in agreement with the results of the internal assessment, that there was a serious error in the programme in relation to the BBC's Editorial Guidelines on factual correctness, which corresponds to regulation 2.2 of Ofcom's Broadcasting Code.
"We issued an apology for this and we comply with Ofcom's decision in full. We will follow the penalty as soon as the timing and language are confirmed."