The Canada Revenue Agency (CRA) revealed that 40% of taxpayers who use crypto-asset platforms avoid cryptocurrency taxes or are at high risk of non-compliance, the Canadian Press reported on December 7.
The outlet said it received an emailed statement from the CRA saying it had 35 auditors in its cryptoasset program, working on more than 230 files, which resulted in “significant tax wins through auditing,” including $100 million over the past three years.
The CRA has acknowledged legal limitations in Canada, stating that it believes “there is no way to reliably identify taxpayers operating in the crypto space and assess compliance” with tax reporting obligations. These challenges have motivated the CRA’s efforts to require disclosures from platforms like Dapper Labs.
The government has expressed particular concern that taxpayers are using the Vancouver-based company to evade taxes, but due to the lack of clear regulations from the CRA, the company has not been fully held accountable, The Canadian Press said.
According to the Canadian Press, Dapper Labs has not denied the investigation, although it has not fully complied with it either; Authorities sought information on Dapper’s top 18,000 users, but negotiations between company officials, lawyers and officials reduced that number to just 2,500. CoinDesk reached out to Dapper Labs and the ARC for comment, but no response was immediately received.
Given these limitations, the country’s Finance Ministry announced in late October the introduction of new legislation by spring 2026.
“Fraud and financial crime are evolving rapidly, and our response must also evolve,” said François-Philippe Champagne, Minister of Finance and National Revenue, on October 20, when announcing the new law. “Whether it’s launching a new federal anti-fraud strategy, establishing a dedicated financial crimes agency to combat financial crimes, or combating economic abuse, our government is committed to protecting the financial security of every Canadian.
Meanwhile, Canada’s financial intelligence unit, FINTRAC, is actively enforcing anti-money laundering laws, fining Peken Global Ltd., a Seychelles-based cryptocurrency exchange operating under the name KuCoin, more than $19.5 million for failing to register as a foreign money services business in the country.
