Canada Tax - write off expenses to reduce the business income tax?

[Philip]

I have been into crypto since May 2020. Now that almost all my savings(over 200K CAD) have become crypto(over 800K CAD worth now) and I don’t have a job anymore. Last year, as a crypto newbie I had more than 20 cryptos, which caused over 1000 transactions(I checked using Koinly and shocked). Although I haven’t realized the gain to CAD yet, I assumed that I should think of myself as a trader, right? Does this mean the profit supposed to be a business income, not a capital gain?

If it is not a capital gain, can I write off expenses(such as house rent, electricity, buying PC) to reduce the business income tax?

Thanks.

[ConorIA]

Not an expert, but from what I can ascertain - yes you are likely to be considered a business it you were day-trading or trading on margin or depend on trading for your day-to-day. With those gains, the CRA would probably call it an adventure in trade at least. Honestly though, take a couple hundred in profits and get expert help. I think there is a West Coast firm called metrics that are Canadian crypto tax experts. I love Koinly, but I have seen quite a few posts on the tax questions section go unanswered and they’re currently slammed for support.