Canada

• Crypto is classified as capital property for investors, business inventory for traders.
• Gains taxable on disposition: sale, trade, spend, or convert to fiat.
• $250k annual threshold per taxpayer; 50% inclusion below, 66.67% above for individuals.
• Use adjusted cost base (ACB) method; average cost across holdings.
• Superficial loss rules prevent claiming losses on repurchases within 30 days.

• Mining rewards taxed as business income at fair market value (FMV) when received.
• Staking rewards taxed as income at FMV upon receipt, even on exchanges.
• Other income (airdrops, forks, payments) taxed at FMV if from business/activity.
• 100% taxable; expenses deductible if business-related.
• DeFi yields and validator rewards treated similarly.

• Report capital gains/losses on Schedule 3 of T1 return.
• Business income on Form T2125 (Statement of Business Activities).
• File T1135 if foreign crypto-assets exceed $100,000 CAD cost at any time.
• Deadlines: April 30 for most individuals; June 15 for self-employed.
• Keep records of all transactions for 6 years; use CAD FMV.

• Capital gains inclusion increase effective January 1, 2026.
• Québec residents file separate TP-1 with Revenu Québec.
• CRA implementing Crypto-Asset Reporting Framework (CARF) for exchanges by 2027.
• No GST/HST on mining/staking rewards typically.
• Audits increasing; use crypto tax software for ACB calculations.