Canada: FinTech

The Canada Revenue Agency’s (“CRA”) authority to conduct a cryptocurrency tax audit begins with subsection 231.1(1) of the Income Tax Act. It gives authorized CRA officials broad powers to inspect or examine relevant documents, records, property, processes, and other matters, and to require reasonable assistance and proper oral or written answers.

Savvy crypto investors and traders in Canada often ask the same question: should crypto activity be carried on personally or through a Canadian-controlled private corporation, commonly called a CCPC? In 2026, that question still has no one-size-fits-all answer. The right structure depends on factors such as the type of crypto activity, the level of profit, the need to deduct expenses, whether the taxpayer wants to combine crypto results with other income sources, and more.

Prediction markets have emerged as one of the fastest-growing areas of online speculation, forecasting, and information-based trading.

The government’s own Auditor General has confirmed it: if you call the CRA for tax advice, there is an 83% chance the answer will be wrong.

Canadian crypto tax compliance has entered a fundamentally different phase—one driven by data visibility, artificial intelligence, and targeted enforcement. The longstanding assumption that cryptocurrency transactions operate outside regulatory reach is no longer credible.

Online content creation has become a serious source of income for many creators. Recent reports suggest that actress Shannon Elizabeth earned more than seven figures in her first week on OnlyFans platforms, even if the platform is foreign or the payments are processed outside Canada.

Decentralized Finance (DeFi) continues to deliver strong opportunities for Canadian crypto investors through yield farming, lending, liquidity provision, and staking.

The rapid evolution of digital asset taxation has led to significantly different reporting frameworks in Canada and the United States.

Cross-border taxpayers, corporations, investors, and high-net-worth individuals increasingly face scrutiny from both the Canada Revenue Agency (CRA) and the Internal Revenue Service (IRS).