This article suggests that the levies on blank media makes copying music legal in Canada.

The argument in the article is shaky for legally using P2P services like Kazaa and Gnutella to share files... but does lend much credence to having MP3s of your own music.

On the other hand, those same levies have generated some 70 million dollars of revenue for he music industry in Canada. So you could say that the music you download is already paid for.