Cryptocurrency declaration at port of entry

[Malekals]

Hey guys,

There's really nothing helpful online regarding whether one should declare their cryptocurrencies when entering Canada or not.

Some compare it to bank accounts, others see it as a money instrument as it's readily available to purchase goods and services.

Would appreciate your input.

 

[rogelcorral]

Hey guys,

There's really nothing helpful online regarding whether one should declare their cryptocurrencies when entering Canada or not.

Some compare it to bank accounts, others see it as a money instrument as it's readily available to purchase goods and services.

Would appreciate your input.

IMHO, since cryptocurrency is still not generally accepted (to date, only a number establishments accept this for payment, not all) as a form of currency, then there’s no need to mention it. Unless you are using the value as part of your financial assets.

Only my opinion.

 

[Simba112]

Hey guys,

There's really nothing helpful online regarding whether one should declare their cryptocurrencies when entering Canada or not.

Some compare it to bank accounts, others see it as a money instrument as it's readily available to purchase goods and services.

Would appreciate your input.

While there is no clear guidelines with CBSA, but CRA requires you to convert crypto into equivalent Cadanian Dollars. This transaction is treated as disposition and it must be included in your tax filing for income tax purpose.

Now my point is, any cash in excess of 8,000 or 10k coming through POE needs to be declared with Boarder officials, then if CRA treat crypro as disposition, you need to declare at POE its Equivalent Value. Its good to declare even if you are not supposed to, but its BAD not to declare while you need to. I may be right or wrong!

 

[rogelcorral]

While there is no clear guidelines with CBSA, but CRA requires you to convert crypto into equivalent Cadanian Dollars. This transaction is treated as disposition and it must be included in your tax filing for income tax purpose.

Now my point is, any cash in excess of 8,000 or 10k coming through POE needs to be declared with Boarder officials, then if CRA treat crypro as disposition, you need to declare at POE its Equivalent Value. Its good to declare even if you are not supposed to, but its BAD not to declare while you need to. I may be right or wrong!

but cryptos are not really physical cash per se. and they are stored in digital wallets. assuming you can use your crypto to pay for purchases, it would be similar to a credit card at best.

still, just my opinion. any thoughts?

 

[Simba112]

but cryptos are not really physical cash per se. and they are stored in digital wallets. assuming you can use your crypto to pay for purchases, it would be similar to a credit card at best.

still, just my opinion. any thoughts?

I totally agree brother rogelcorral. Its a grey area but i relied on the CRA guidelines. This aid with money laundering. The only concept is, its not physical cash but it has value equivalent to CAD.

 

[rogelcorral]

I totally agree brother rogelcorral. Its a grey area but i relied on the CRA guidelines. This aid with money laundering. The only concept is, its not physical cash but it has value equivalent to CAD.

that’s true! cryptocurrency does have the risk of being used in money laundering, unfortunately. and thanks, that’s really an enlightening insight regarding the CRA. better be safe than sorry.

 

[Simba112]

Thanks guys!

It really is a gray area. I think I will declare it or just delete crypto apps altogether and reinstall them.

Though, I can prove the source of my crypto and that it is legitimate money and can confidenlty declare it but prefer not to.

I suggest you declare. There is no problem with declaration. What if CSIS have those details and pass over to CBSA? Im pretty sure every traveller coming in are screened before boarding flight. Im just thinking, but its up to you

 

[Malekals]

I suggest you declare. There is no problem with declaration. What if CSIS have those details and pass over to CBSA? Im pretty sure every traveller coming in are screened before boarding flight. Im just thinking, but its up to you

I agree! I just don't want the hassle at the airport. But, I'll declare them just to be safe.

 

[Malekals]

I suggest you declare. There is no problem with declaration. What if CSIS have those details and pass over to CBSA? Im pretty sure every traveller coming in are screened before boarding flight. Im just thinking, but its up to you

"The following do not fall within the definition of “monetary instrument”:
Warehouse receipts and bills of lading
Monetary instruments that are made payable to a named person, but are not endorsed or which bear restrictive endorsements
Credit cards and prepaid cards
Virtual currencies including Bitcoin"
https://help.cbp.gov/s/article/Article-332?language=en_US

I found this on the CBP website but it's for the US.

 

[Simba112]

"The following do not fall within the definition of “monetary instrument”:
Warehouse receipts and bills of lading
Monetary instruments that are made payable to a named person, but are not endorsed or which bear restrictive endorsements
Credit cards and prepaid cards
Virtual currencies including Bitcoin"
https://help.cbp.gov/s/article/Article-332?language=en_US

I found this on the CBP website but it's for the US.

Read below link about CBSA obligation to report to FINTRAC

https://www.fintrac-canafe.gc.ca/reporting-declaration/rpt-eng

 

[Malekals]

Read below link about CBSA obligation to report to FINTRAC

https://www.fintrac-canafe.gc.ca/reporting-declaration/rpt-eng

Thanks, but it still doesn't give any info. It's about reporting transactions, not about travelling with your Bitcoin wallet.

 

[Simba112]

Thanks, but it still doesn't give any info. It's about reporting transactions, not about travelling with your Bitcoin wallet.

Again its a grey area but one thing you and I agree is, it is good idea to report than not to.

 

[Malekals]

Again its a grey area but one thing you and I agree is, it is good idea to report than not to.

Yes, I agree with you. Many thanks

 

[canuck78]

but cryptos are not really physical cash per se. and they are stored in digital wallets. assuming you can use your crypto to pay for purchases, it would be similar to a credit card at best.

still, just my opinion. any thoughts?

Digital wallet definitely not like a credit card. Digital wallet is more like an investment account.

 

[Malekals]

Digital wallet definitely not like a credit card. Digital wallet is more like an investment account.

Nothing like a credit card for sure. If you hold your cryptos in separate software wallets (Blue wallet, Trust wallet, etc...) or exchanges (Coinbase, Binance, etc...), it's more like debit cards. Plus, let's say you use an exchange like crypto.com and have one of their Visa cards (which are debit cards), should you declare it? I don't think so.

Another dilemma is if you hold your cryptos in a hardware wallet and cross the border with it.

I think we also can make a good reference to stocks. Are we allowed to travel while investing in stocks using apps, such as Robinhood, valued more than $10K without declaring? If yes, then holding crypto should not differ that much.