We held a Reddit AMA on cryptocurrency taxes and created a Canadian crypto tax resource centre.
Canadians are increasingly embracing crypto. In 2020, more Canadians searched for ‘Bitcoin’ on Google than for ‘banks. But even as more Canadians enter the crypto space, many are still in the dark on the topic of crypto taxation. So, with that in mind, we held our first CryptoTax AMA on Reddit on April 22nd, shortly before the filing deadline. We put together a team of experts, John Oakey and Myles Bilodeau – who have a combined 35 years of tax experience, to answer crypto investors’ questions about crypto taxes in Canada.
Cryptocurrency and decentralized finance (De-Fi) are new, and what aspects of them are taxable and how they are taxed is a grey area. With the tax filing deadline around the corner, we held our Reddit CryptoTax AMA to provide answers to our community –members’ questions and help shed some light on the issues surrounding crypto taxes.
John and Myles fielded questions on a variety of issues surrounding crypto taxation. We have included our answers to some of the most popular questions below:
Q1: How is day-trading cryptocurrency taxed?
Q2: Can you claim capital gains/losses from trades on defunct exchanges?
Q3: How is cryptocurrency earned through mining or staking taxed?
Q4: Does the CRA consider cryptocurrency a foreign asset?
Q5: How are Airdrops or Forks reported and taxed?
Q6: How do I calculate the gains from my crypto trades?
Q7: Do I have to pay tax on crypto purchased before I moved to Canada?
About our experts:
Myles Bilodeau, JP, has over ten years of tax law experience and is a partner at Arcus Legal with a focus on Business Tax Planning. He has been involved in the crypto community since 2017 and is a former Ethereum miner.
John Oakey, CPA, is the National Director of Tax Services at Baker Tilly Canada, member of the Canadian Tax Foundation Board of Directors, and co-author of the 2018 paper “Decrypting Cryptocurrency” for the Canadian Tax Foundation.
To learn more about crypto taxes in Canada, you can visit our resource center here: https://coinberry.webflow.io/crypto-taxes
If you want to ask our tax experts a question, you can reach them on Reddit here: https://www.reddit.com/r/CoinberryCryptoTaxes