Copy link
Increase text size
Decrease text size
Link copied

Canada Revenue Agency wants cryptocurrency exchange to hand over customer data since 2013

The Canadian tax agency asked a judge to force the crypto trading platform Coinsquare to hand over customer information.

Image by: Andy Burgess / Flickr

Tue, 10 Nov 2020, 08:35 am UTC

The Canada Revenue Agency (CRA) wants to get its hands on the records of a cryptocurrency firm as part of its efforts to fight tax fraud. Canada’s tax authority is asking a federal court to compel the Toronto-based crypto exchange Coinsquare to hand over information on its thousands of clients.

The CRA has asked a judge to force the Toronto-based cryptocurrency exchange to “to hand over information and certain documents about all its clients,” Bitcoin.com reported. The Canadian tax agency wants to get its hands on data about the crypto firm’s customers since the beginning of 2013.

The agency wants to know the identity of the cryptocurrency platform’s customers as part of its efforts in fighting tax fraud and the underground economy, according to the National Post. The CRA explained it a September filing that it would use the requested information to makes sure that Coinsquare clients have “complied with their duties and obligations” under Canadian tax law.

The CRA suspects that Coinbase’s crypto clients might not be complying with existing tax regulations. “Given the pseudo-anonymous nature of cryptocurrencies, the scope of non-compliance with Canadian tax obligations is difficult to measure,” Canada Revenue Agency spokesperson Charles Drouin said. “However the CRA presumes the opportunity for non-compliance to be high.”

Piccolo said that it is the first time that CRA actively sought out such an extensive amount of data from a crypto trading platform. However, the agency did not comment on whether or not the move has connections to the penalties imposed on Coinbase and its executives earlier this year by the Ontario Securities Commission (OSC).

Earlier, OSC imposed $2.2 million in sanctions on Coinbase for faking is trading volume. The platform was also accused of trying to cover it up by firing a whistleblower.

In 2018, the Canada Revenue Agency established a crypto unit specifically for cryptocurrency-related audits. Last year, the agency said that digital currencies were increasingly being used in offshore tax evasion cases.

Coinsquare is a Toronto-based cryptocurrency trading platform launched in 2014. As of December 2019, the platform had around 235,000 according to the OSC.

TokenPost | [email protected]

<Copyright © TokenPost. All Rights Reserved. >

To leave a comment, please sign in.
More
  • Bitcoin (BTC) $16,810.70 (-0.68%)
  • Ethereum (ETH) $505.56 (-0.26%)
  • XRP (XRP) $0.224600 (+0.84%)
  • Bitcoin Cash (BCH) $261.44 (-3.30%)
  • Chainlink (LINK) $12.24 (+1.45%)
  • Bitcoin (BTC) $16,810.70 (-0.68%)
Feb 21, 2020 (Friday)
12:01
Paxos launches blockchain-based securities settlement solution with Credit Suisse and Instinet
12:00
Brazil to launch new payment system in response to cryptocurrencies
11:59
Digital currency exchange Coinbase Pro lists Kyber Network token
11:57
Norwegian Air to soon start accepting crypto payments
10:21
Swedish central bank begins CBDC pilot with Accenture
09:51
Italian soccer team Juventus launches ethereum-based digital collectibles with Sorare
Feb 20, 2020 (Thursday)
14:16
Telecom companies complete cross-carrier mobile payments using blockchain
11:53
National Stock Exchange of Australia to develop DLT-based digital securities trading platform
11:00
South Korean ICO project discontinued, to return $7.5M to token holders
10:36
Samsung maintains crypto support in soon-to-launch Galaxy S20
09:41
BIS appoints Innovation Hub heads to lead Singapore and Switzerland
09:15
Coinbase becomes first crypto company to receive Visa principal membership
08:59
Dubai Economy and six banks launch KYC Blockchain Consortium
08:26
Crypto Technicals: ETH/USD under downside pressure after 'Bearish Engulfing' pattern
07:12
Tim Draper buys $1M worth of Aragon Tokens to create digital courts for DAOs
06:13
Renewable energy firm Acciona commits to take CBI’s blockchain-based carbon credits trading platform global
05:02
Crypto Technicals: BTC/USD trades below 21-EMA, break below 4H 200 MA (9386) to trigger further downside
04:56
Crypto exchange Coinfloor to launch a simplified bitcoin buying service
04:35
Indonesia’s customs department joins IBM- Maersk blockchain shipping platform “TradeLens”
Feb 19, 2020 (Wednesday)
12:46
Crypto custodian BitGo acquires digital securities startup Harbor
Subscribe to the TokenPost newsletter!
Don't show me this again today.
Back to top
Copyright ⓒ TokenPost. All Rights Reserved.
PUBLISHsoft