Start here: accountants and bookkeepers
When a client starts accepting stablecoins or other crypto-assets, the bookkeeping questions tend to come before the tax ones: what value goes in the ledger, what record backs it up and how a wallet gets reconciled like a bank account. This page sets out what the CRA has said, what it leaves to the facts, and a worked record you can reproduce.
Your path through the portal
Key points
- The CRA treats paying with crypto like a barter transaction: income is the fair market value in Canadian dollars at the time of the transaction.
- GST/HST is calculated on the same fair market value when a registrant accepts crypto for taxable supplies.
- A later conversion creates a separate gain or loss, which can be business income or capital depending on the facts.
- The supply of a virtual payment instrument is an exempt financial service; other crypto-assets are likely taxable supplies of intangible personal property.
- The audit trail is date, time, CAD value, wallet addresses, transaction hash and how fair market value was determined.
Four questions clients bring you
What do I record as revenue? The fair market value in Canadian dollars of what was received, at the time of the transaction, not the value when it was later converted.
How do I charge GST/HST or PST? On the price of the supply, as usual. When a registrant is paid in crypto, the CRA says GST/HST is calculated on the fair market value of the crypto at the time of the transaction.
What happens when I convert? The difference between the value on receipt (the cost base of what you hold) and the proceeds on conversion is a gain or loss. Whether that is business income or capital depends on the facts, including frequency, holding period, knowledge and time spent; Guides T4002 and T4037 apply respectively.
What records do I need? Date, time, CAD value, wallet addresses and how fair market value was determined, per the CRA. Add the transaction hash and the rate source.
Worked example: a Quebec sale
Suppose a Quebec registrant sells a $500 service and is paid in a USD-referenced stablecoin. Assume an illustrative value of $1.37 per unit at the time of the sale, conversion the same day at the same rate, a $2.50 conversion fee and a $0.05 network fee. The rates are assumptions, not market data; the crypto receipt record reproduces the calculation.
| Line | Amount |
|---|---|
| Price of service | $500.00 |
| GST at 5% | $25.00 |
| QST at 9.975% | $49.88 |
| Total due | $574.88 |
| Units received at $1.37 | 419.62 |
| Revenue recorded | $500.00 |
| Cost base of units received | $574.88 |
| Proceeds on conversion, before fees | $574.88 |
| Loss on conversion (fees only) | $2.55 |
Tax rates are from the CRA rate calculator for supplies on or after April 1, 2025. Check the current rate for the province of supply before you rely on any example.
GST/HST: what kind of supply is the crypto itself?
Two separate supplies can be involved. The business's sale of goods or services is taxed as usual, on the fair market value of the crypto received. The crypto-asset itself is a different matter: the CRA says the supply of a virtual payment instrument, such as bitcoin or ether, is an exempt financial service, while supplies of other crypto-assets are likely taxable supplies of intangible personal property.
For a client paid in a stablecoin, whether that particular asset is a virtual payment instrument is a question worth confirming with the CRA rather than assuming. GST/HST on crypto payments sets out what is settled.
Reconciling a wallet like a bank account
Network fees paid by the business, refunds sent as new outbound payments, and payments that arrive on the wrong network all need their own treatment. Reconciling on-chain payments covers the matching logic in detail.
- Treat each wallet or custodial account as its own ledger account.
- Export transactions with hashes, timestamps, amounts and network fees.
- Match each receipt to an invoice or sale, using the address or payment reference.
- Record the CAD value at the time of each receipt from a documented rate source.
- Record conversions with proceeds, fees and the resulting gain or loss.
- Reconcile the closing balance in units, then value it for the period-end statements.
Retention and FINTRAC overlap
Keep crypto records alongside the rest of the books. If a client is a FINTRAC reporting entity or an MSB, FINTRAC records must generally be kept for at least five years, and receipts of virtual currency of $10,000 or more trigger a large virtual currency transaction report within five working days. MSB virtual currency transfers of $1,000 or more carry their own record requirements, including the transaction hash and exchange rates. See record keeping. These requirements are as of October 30, 2026.
Your workflow, in order
- Read accounting for crypto receipts for the journal entries.
- Work one real-looking sale through the crypto receipt record and keep the output as your template.
- Check the client's position on CRA crypto business income and the GST/HST page.
- Agree the rate source, timing and wallet export format with the client before the first live payment.
- Set a monthly reconciliation routine and a retention plan.
Pitfalls to catch early
- Recording revenue at the conversion value instead of the value at the time of the sale.
- Using one monthly average rate without documenting why it represents fair market value.
- Booking the full receipt as revenue, including GST/HST or QST collected.
- Missing network fees, which are small per payment but add up.
- Treating a stablecoin balance as cash in Canadian dollars; it is a separate asset that needs its own valuation and disclosure decision.
- No record of how fair market value was determined, which the CRA expects.
Questions people ask
Which value goes in the ledger when a client is paid in crypto?
The fair market value in Canadian dollars at the time of the transaction, per the CRA. Document the rate source and time used.
Is the conversion gain or loss business income or a capital item?
It depends on the facts, such as frequency, holding period, knowledge and time spent. The CRA's crypto guidance and Guides T4002 and T4037 set out the factors.
Is a stablecoin a virtual payment instrument for GST/HST?
The CRA names bitcoin and ether as examples of virtual payment instruments and says other crypto-assets are likely taxable supplies. Confirm the treatment of a specific asset with the CRA.
How long should crypto payment records be kept?
Keep them with the rest of the books. If the client is a FINTRAC reporting entity or an MSB, FINTRAC records must generally be kept for at least five years.
Sources
- CRA — Income from crypto-asset transactions
- CRA — GST/HST and crypto-assets
- CRA — GST/HST rate calculator
- FINTRAC — MSB record keeping
Reviewed October 30, 2026. Educational information only; not financial, legal, tax or investment advice. This site does not process payments or hold funds.