Does the company have to pay taxes on dividends to shareholders?

Legal analysis: after the end of a tax year, enterprises that have formed after-tax profits should be distributed to shareholders; After the end of a tax year, the after-tax profits formed by the enterprise shall be distributed to shareholders, and the dividends obtained by shareholders shall be taxed according to relevant regulations. Generally speaking, dividends received by individual shareholders should be taxed at 20% of dividends received by individual shareholders and half of dividends received from listed companies.

Legal basis: Article 4 of the Company Law of People's Republic of China (PRC) Company enjoys the rights of earning assets, participating in major decisions and choosing managers according to law.

Article 3 of the Individual Income Tax Law of People's Republic of China (PRC): (1) For comprehensive income, the excess progressive tax rate of 3% to 45% is applicable (the tax rate table is attached); (2) For operating income, the excess progressive tax rate of 5% to 35% shall apply (the tax rate table is attached); (3) Income from interest, dividends and bonuses, income from property leasing, income from property transfer and accidental income shall be subject to the proportional tax rate of 20%.