3 ms·

Capital gains are not taxable until they are realized through sale of the assets. I would not expect he had any tax liability yet.

• xyzzy4747 4y ago
  Stealing an asset and keeping it is considered “income” in that tax year, I believe. You would only be correct if he stole Bitcoin when it was worth 0, but it wasn’t.
  • jeremyjh 4y ago
    That's true, he'd owe taxes on the $500k it was worth at the time.