Your government will not know if you have bitcoin
This isn't true at all. If you complete KYC or buy bitcoin through a centralized exchange with your debit card or bank account, then that information will almost certainly be shared with your government. Not only will they know what you have bitcoin, but they will likely also know exactly how much you bought, when you bought it, and the address(es) you sent it to.
If you can do that, you are good to go and do not have to worry if someone will know you have bitcoin and report you to your government.
Again, not true, and dangerous advice if bitcoin is illegal in your country. You absolutely have to worry that any service you interact with could report you to your government.
However, given that you are obligated to report your bitcoin holdings to your government for taxing purposes, silence will be tantamount to breaking the law
This will vary depending on your jurisdiction. In the US, you are not obligated to report simple holdings.