Re: If i dont sell my bitcoins for the year i still have to pay taxes ?
No. If you don't convert your Bitcoins to hard cash, you don't need to pay any tax on it. As long as your investment remains in the form of Bitcoins, the government can't tax you. If you sell your coins within three years from the purchase, then you need to pay regular income tax over it. If your investment is over three years old, then you may only need to pay the long-term capital gains tax.
Capital gains is a pain for everyone who make profits in the US.
So, if you live in the US and can make profits by sell bitcoin 3 years later, welcome to the world of taxes.
USA want to get a piece of cake in every profits a citizen gains. That's why many people trying to avoid taxes in the US by trade cryptocurrency in secret, or simply don't ever sell bitcoin in the US, but convert it in another country which don't have taxes regulations for convert bitcoin into fiat currency such as in Bolivar.
