TechFlow, on December 9, according to Coindesk, the Canada Revenue Agency (CRA) disclosed that 40% of users on crypto asset platforms either evade taxes or face high compliance risks.
The CRA stated that its crypto asset program has 35 auditors currently handling over 230 cases and has recovered $100 million in taxes through audits over the past three years. The agency acknowledged legal limitations in identifying taxpayers in the cryptocurrency sector, stating it “cannot reliably identify taxpayers operating in the cryptocurrency space and assess compliance with their income tax filing obligations.”
Due to regulatory uncertainty, the CRA faces challenges when requesting information disclosure from platforms such as Dapper Labs. Authorities initially intended to obtain data for the first 18,000 users of Dapper Labs but only secured information for 2,500 users after negotiations.
To address these limitations, the Department of Finance announced it will introduce new legislation by spring 2026. Finance Minister François-Philippe Champagne said the government is committed to establishing a dedicated financial crimes agency to combat financial crime.
