Is "We consider him to be so, and we do not sanctify anyone before Allah" said when praising a person's character and dealings, or is it restricted to praising their religiosity only, and is it said in their presence and absence?

Al-Bukhari reported in his Sahih (definition) that the Prophet, may Allah bless him and grant him peace, said to someone who praised a man: "Woe to you! You have cut off your companion's neck!" And he taught that whoever wishes to praise should say: "I reckon him to be such and such, and Allah is his reckoner, and I do not purify anyone before Allah." This is general for all praise and commendation, whether concerning religion or other matters, and whether in the presence of the one being praised or in his absence.