Canada recovers 100 million CAD in crypto taxes, but can't file a single criminal case?

Question

[Chain News] Canada has recently revealed some intriguing numbers regarding cryptocurrency taxation. Over the past three years, the tax authority has collected more than 100 million CAD (about 72 million USD) from crypto users through audits. Sounds impressive? But what’s even more interesting is that—since 2020, not a single criminal case has been filed.

What’s behind this? Court documents reveal that the tax agency has processed over 230 related files, and internal estimates show that about 40% of people using crypto platforms either haven’t reported taxes at all or are pushing the limits of compliance. But here’s the catch: they themselves admit that they “can’t figure out how many taxpayers there actually are in the crypto space, let alone accurately assess these individuals’ income tax situations.”

As for enforcement measures? Still in the exploratory stage. Take the recent Dapper Labs case: the tax authority initially wanted data on the first 18,000 users, but after negotiations and compromises, the court ultimately authorized the release of information for 2,500 individuals. This marks only the second time since the Coinsquare case in 2020 that the court has compelled a local crypto company to hand over user data.

In short, the current situation is this: they’ve collected a lot of money, but the entire regulatory framework is still missing pieces—data is incomplete, violations are hard to identify, and criminal prosecution is practically impossible. This awkward “able to issue fines but unable to press charges” state actually highlights the sense of powerlessness the traditional tax system feels when dealing with decentralized technology.

Ser_APY_2000 · Accepted Answer

Haha, the Canada Revenue Agency is unbelievable. They got 100 million CAD, yet couldn't even get a single criminal case out of it. That's just ridiculous.

They don't even know how many taxpayers they have, yet they still have the nerve to collect taxes. Hilarious.

With 40% of people evading taxes, all they can do is watch helplessly. Their enforcement is really something else.

The Dapper Labs case is even more absurd. After all those negotiations, they still didn't get the complete data, yet they still want to go after us.

It feels like the Canada Revenue Agency is just as clueless as we are in crypto—they're all just feeling their way across the river.

DegenWhisperer · Answer

They've collected a billion Canadian dollars and still haven't cracked a single case? Ha, the Canadian tax authorities are really masters at slacking off.

They can't even figure out how many taxpayers they have, yet they're putting on a show with audits... hilarious.

40% of people haven't filed taxes at all, and with numbers like that, they're still not prosecuting? If you ask me, it's just that the law enforcement agencies aren't doing their jobs.

What does the Dapper Labs case show? That negotiations and compromises don't have much teeth... in reality, they're just putting on an act.

That's why every time they talk about strict regulation of crypto, it always ends up being all talk and no action.

MetaverseLandlady · Answer

The Canadian tax authorities are a bit ridiculous... collected 100 million CAD and still zero criminal cases, feels like they're just taking money without doing their job.

They don't even know how many people are supposed to pay taxes, the enforcement is seriously weak.

40% of people didn't report or are testing the waters in secret— with this kind of quality, they still want to regulate on-chain users? What a joke.

The Dapper Labs case is even funnier, they wanted data on 18,000 users and had to compromise— is their authority really that flimsy?

If the tax authorities can't figure out Web3, what does that say? Only we really know what's going on.

PumpingCroissant · Answer

Haha, what is Canada even doing? They collected 100 million CAD but don't even dare to open a single case?

To put it bluntly, they simply can't manage it... 40% of people didn't file taxes and they can't even figure it out themselves.

If they want data, they have to beg and plead. The Dapper incident directly exposed the law enforcement agencies' sense of powerlessness... What kind of regulation is this?

digital_archaeologist · Answer

Canada’s tax authorities are really hopeless… They collect 100 million, but don’t even dare to open a single case. How weak can they be?

They’re quick to take money, but when it comes to tracking people? Absolutely clueless, it’s laughable.

So, basically, they just want to squeeze money out of people, but don’t have the means to enforce it… Isn’t this just useless?

It’s absurd—40% of people didn’t even file taxes, and nothing happened to them? Looks like they really have no solution.