I have discussion about think generating a tax deduction for the market value without having to pay tax on the appreciation.crypto from Bitcoin, would have to give tax. He further said that their source of income would also be asked and if they don't pay tax, action will be taken against them.To simplify things, we are only talking about bitcoin here, but note that these general guidelines apply to other cryptocurrencies as well. Also, none of this is legal advice, so if you have specific questions, its best to consult with a tax decision of profit to btc.there are bitcoin holdings are not taxable but any time you sold bitcoin or used it to buy something, you were accruing taxable income.