Quote:
Originally Posted by Reggie28
Can you invest in TFSA, LIRA, RRSP accounts? If it is all unregistered, there are tax complications. I haven’t done my homework, but there are lots of smart crypto people around here.
|
Crypto transactions are considered barter transactions according to the CRA, which means that you can not trade them in your TSFA, LIRA, RRSP, or other registered accounts. However, you can trade companies and other investment vehicles that hold crypto assets. The catch is that it has to be on specific exchanges, and those exchanges don't approve listings of anything but the big currencies Eth and Bitcoin right now.
You could invest in cryptocurrency mining companies as well, or Neo has approved companies that are cryptocurrency technology companies.
So yes, there are some pretty severe tax consequences to cryptocurrency trading, and you need to track the highest market value at the time of the transaction. The good news is barter transactions are considered capital gain income instead of straight income.
CRA has a really good guide on cryptocurrency taxing:
https://www.canada.ca/en/revenue-age...cy-guide.html: