Guide to Crypto Tax in Canada (2025 CRA Rules)

Zac McClure
ByZac McClure, MBAReviewed byTynisa (Ty) Gaines, EAUpdated on June 29, 2025 · minute read
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  • Canadian investors include only 50% of crypto capital gains in taxable income, while all business-classified gains (trading, large-scale mining, staking as a service) are taxed in full at federal and provincial rates.

  • The CRA can obtain KYC data from exchanges and requires detailed records. Accurate cost-basis tracking and Form T1135 reporting for foreign holdings above CAD 100,000 are essential for 2024 returns due April 30th, 2025.

Canada treats cryptocurrency as property. Gains may be business income or capital gains, and the tax you owe depends on that classification. Below is the latest CRA guidance, plus tips for reducing your bill and filing on time.

Use our free crypto tax calculator.

Is cryptocurrency taxed in Canada?

Yes. Disposing of crypto, earning it, or using it in barter can create either capital-gain income (only 50% taxable) or fully taxable business income, depending on scale and intent.

How much is cryptocurrency taxed in Canada?

Canada does not apply any special crypto-specific rates. After you determine whether a gain is capital (only 50% included) or business income (100% included), add that amount to your other taxable income. The total is then taxed at the regular federal brackets for the 2024 tax year (returns filed in 2025):

  • 15% on the first CAD 55,867 of taxable income

  • 20.5% on 55,868 – 111,733

  • 26% on 111,734 – 173,205

  • 29% on 173,206 – 246,752

  • 33% on anything over 246,752

Each province or territory applies its own marginal bands on top of these federal rates.

Learn about crypto tax free countries.

How different crypto transactions are taxed in Canada

Buying and holding cryptocurrency

No tax when you purchase or transfer coins between wallets you own.

Selling cryptocurrency

Creates a capital gain or loss. Include 50% of the gain in taxable income.

Mining and staking cryptocurrency

Usually business income. Report 100% of fair-market value when received; later sales trigger capital gains.

Crypto-to-crypto trades taxed

A barter transaction. Calculate the gain on the disposed coin using its CAD value at the swap time.

Receiving cryptocurrency as payment

Business or employment income at full value on the receipt date.

See our expert picks of the best crypto wallets.

Capital gains tax on crypto in Canada

Include half of your net gains on Schedule 3. Capital losses can offset gains in the current year, the three prior years, or any future year.

Can the CRA track crypto?

Yes. Exchanges share transaction data and report transfers above CAD 10,000. Foreign platforms can be compelled through treaty requests.

See our expert picks of the best crypto loans.

The CRA and crypto tax in Canada

The CRA views crypto gains as capital or business income and applies GST/HST rules to barter transactions involving taxable supplies.

How are crypto losses taxed in Canada?

Net capital losses (50% of the actual loss) can offset capital gains. Business losses follow normal business-loss rules and can offset any income.

How are crypto airdrops taxed in Canada?

If the airdrop is received as part of an investment-like activity, treat it as capital property with a zero cost basis; selling it later creates a capital gain. If received in the course of business or promotion, include the full value as income on receipt.

How is DeFi taxed in Canada?

DeFi interest, yield farming, and token incentives are generally ordinary income at receipt. Swaps, liquidity withdrawals, and bridge transfers are dispositions of the original tokens and may create capital gains.

Corporate tax for crypto businesses in Canada

Businesses pay the general federal rate of 28% after the 10% abatement, plus provincial corporate tax. Small Canadian-controlled corporations may qualify for the 9% small-business rate on the first CAD 500,000 of active income. Crypto inventories must be valued consistently using cost or market. Mining and staking done at commercial scale is normally taxed as business income.

Regulatory compliance for crypto in Canada

Exchanges must register with FINTRAC and comply with AML rules. Large crypto firms may soon face securities-style registration under proposed CSA guidance.

Use the federal table above plus your province’s brackets. Business income from trading, mining, or staking is added in full. Personal investors add only 50% of net gains.

Crypto as payment for goods and services

Using crypto to buy or sell goods is a barter. The payer has a disposition (capital gain or business result); the recipient includes the CAD value as business income and may charge GST/HST.

How to avoid cryptocurrency taxes in Canada

  • Hold coins instead of selling.

  • Harvest capital losses before year-end.

  • Donate appreciated crypto to registered charities for a tax credit.

  • Use TFSA-listed crypto ETFs to shelter gains.

  • Time dispositions for years with lower marginal rates.

Tax-free cryptocurrency transactions in Canada

  • Buying crypto with fiat

  • Moving coins between your own wallets

  • Gifts received (recipient’s cost basis is donor’s adjusted cost)

  • DAO formation with no immediate disposal

Record-keeping for crypto transactions in Canada

Keep invoices, exchange CSVs, wallet addresses, dates, amounts, and CAD values for at least six years after filing.

Filing deadlines for crypto taxes in Canada

  • Individual return and payment: April 30th, 2025

  • Self-employed return: June 15th, 2025 (payment still due April 30th)

  • Corporations: six months after fiscal year-end; balance due two or three months after year-end depending on size.

What types of records do I need for my crypto taxes?

Schedule 3 for capital gains, Form T2125 for business income, and Form T1135 if foreign-exchange cost exceeds CAD 100,000. TokenTax can generate all required reports.

How to file crypto taxes in Canada

Log in to CRA MyAccount or a NETFILE program. Enter fifty percent of your net Cardano capital gains on Schedule 3, list any staking or mining business income on Form T2125, and file Form T1135 if the cost of foreign exchanges tops 100,000 CAD. Submit and pay the deadline.

How to calculate your crypto taxes in Canada

Add all proceeds, subtract adjusted cost basis (average cost), include 50% of the resulting gain, then apply your combined federal and provincial rate. Our calculator automates the math and flags missing cost basis.

Canada crypto tax FAQs

To stay up to date on the latest, follow TokenTax on Twitter @tokentax.

Zac McClure
Zac McClureCo-Founder & CEO at TokenTax
Zac co-founded TokenTax after his career in international finance and accounting at JPMorgan, Imprint Capital and Bain. He has worked in more than half-dozen countries and received his MBA from the UPenn Wharton School.
Tynisa (Ty) Gaines
Reviewed byTynisa (Ty) GainesTax Expert at TokenTax
Tynisa (Ty) Gaines, EA has more than 20 years of experience as a tax professional. Ty has published numerous tax articles, two tax e-books, and an academic publication on cryptocurrency for the National Income Tax Workbook.

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