Shymkent entrepreneurs fight to reclaim millions in unlawful ad fees
Entrepreneurs in Shymkent have been hit with unlawful fees for outdoor advertising, sparking frustration across the business community. The charges, later deemed illegal, forced companies to fight for refunds—yet many still struggle to reclaim their money. The problem began when regulators issued bills for supposed outdoor advertisements, blurring the line between ‘advertising’ and ‘signage’ under Kazakhstan’s Law on Advertising. One business owner, Sultanhodzhaev, received a demand for nearly 560,000 tenge, despite no clear violation.
Over 2,500 entrepreneurs faced similar charges, with wrongful assessments totaling around 260 million tenge. Although regulators canceled hundreds of millions in fees, the funds remain stuck in the tax system. By early May, only 59 businesses had successfully recovered about 58 million tenge in total.
The business community had pushed for the abolition of this tax starting in 2025, but the change was left out of the new Tax Code. Many argue that advertising fees add an unfair burden, as companies already pay taxes on goods and services. Now, those seeking refunds must navigate complex bureaucratic hurdles to get their money back. The illegal fees have left many businesses in limbo, with millions still tied up in the tax system. While some refunds have been processed, the slow pace and administrative barriers continue to weigh on affected entrepreneurs.
