Canadian Crypto Tax: What You Need to Know in 2025

When you buy, sell, or trade cryptocurrency in Canada, the Canadian crypto tax, the set of rules enforced by the Canada Revenue Agency that classify crypto as property, not currency. Also known as crypto gains tax, it applies to every transaction—whether you’re swapping Bitcoin for Ethereum, cashing out to CAD, or using crypto to buy a coffee. Unlike some countries that ignore small trades, Canada’s tax agency, the CRA, Canada’s tax authority that treats crypto like stocks or real estate for reporting, expects you to track every single trade. If you made even $10 in profit from a swap last year, you owe taxes on it.

The CRA crypto rules, the official guidelines that define taxable events, record-keeping, and reporting obligations for crypto users in Canada are clear: buying crypto with CAD isn’t taxable, but selling it for profit is. Same goes for trading one coin for another—even if you didn’t touch fiat. If you mined crypto, staked tokens, or earned rewards, those count as income. The crypto reporting Canada, the process of disclosing all crypto transactions to the CRA using forms like T2125 or Schedule 3 isn’t optional. The CRA has partnered with blockchain analytics firms and is cross-referencing exchange data with bank deposits. People who didn’t report are getting letters. Some are facing audits, penalties, or even criminal charges for tax evasion.

You don’t need to be a trader to be affected. If you bought Bitcoin in 2020 and sold it in 2024 for a $5,000 profit, that’s taxable. If you held onto it and never sold, you owe nothing—yet. But if you later sell, the gain is calculated from your original purchase price, not the price when you got it. That’s called the adjusted cost base. Most people mess this up by guessing their buy price or ignoring small trades. The cryptocurrency gains Canada, the net profit from crypto transactions subject to capital gains or business income tax under Canadian law is taxed at either 50% of the gain (if it’s a capital gain) or 100% (if it’s business income, like running a mining operation). The difference matters. A $10,000 gain could cost you $2,500 in taxes—or $5,000, depending on how you classify it.

There’s no official app from the CRA, but there are tools—some free, some paid—that auto-import your trades from exchanges and calculate your tax liability. You still need to review them. Many users get tripped up by airdrops, forks, or NFT trades. Even if you didn’t sell, you might still owe tax. The rules are complex, but the core idea is simple: if you made money from crypto, the CRA wants its share. And they’re getting better at finding it.

Below, you’ll find real guides from people who’ve been through it—how to file correctly, what records to keep, which exchanges report to the CRA, and how to handle losses. No fluff. No theory. Just what works in Canada in 2025.