Guide to Crypto Tax in Canada (2025 CRA Rules)

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.

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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.

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.

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.

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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.

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

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

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

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.

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.

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.

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.

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.

• 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.

• 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

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

• 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.

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.

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.

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

How is transferring crypto between different wallets taxed in Canada?

No tax if both wallets belong to you, but keep records proving ownership.

When do you need to report your crypto taxes?

Report every year on your T1 return even if you only had losses.

Do I need to pay taxes on crypto gifts or donations?

Gifting crypto is a disposition for the giver and may create a capital gain. The recipient inherits the donor’s cost basis.

Are NFT sales and purchases taxable?

Yes. Buying an NFT sets cost basis; selling or trading it triggers capital-gain treatment (or business income if you trade NFTs as a business).

Do I need to report crypto held in foreign exchanges?

Yes. If the total cost exceeds CAD 100,000 at any point in the year, file Form T1135.