Do you have to pay taxes on Bitcoin if you don't cash out?
Harry The easiest way to avoid paying tax on Btc to PayPal
is to purchase your Individual Retirement Account (IRA). Traditional IRA's allow investors to defer tax on gains until you start to take distributions. However, if you are eligible for a ROTH IRA, the money you contribute is tax-free.
A common way to cash out Bitcoin is through a third-party exchange, such as Coinbase, Kraken, or Bitstamp. Most cryptocurrency exchanges have reasonable fees and security measures in place to help you turn your cryptocurrency into cash without putting your assets at risk.
You don't have to pay tax when you buy bitcoin or other cryptocurrencies in the UK, but you might have to pay capital gains tax when you come to sell it. ... If you do have tax to pay you'll need to file a self-assessment tax return.