In Hong Kong, dividends are not taxed either when they are declared or when they are paid. Hong Kong operates under a territorial tax system and does not impose any capital gains tax, withholding tax on dividends, or tax on dividends received by shareholders. This applies both to dividends distributed by Hong Kong companies and dividends received from overseas.
This policy is part of what makes Hong Kong an attractive location for business and investment, as it simplifies tax administration for companies and reduces the tax burden on investors. However, it’s important for recipients of dividends to consider the tax implications in their country of residence, as other jurisdictions may tax foreign dividends differently.