Deposits made into your bank account from exchanges - deposits made into exchanges from your bank account = this income needs to be taxed. If you invest more than 1 year, this capital income doesnt need to be taxed in some countries
Wait a minute... deposits INTO exchanges? Well, I'll b! But surely you can't be taxed for buying them from non exchange companies, right?
Read closer. He's basically stating (Amount of bitcoin you've sold)-(amount of bitcoin you've bought)=amount of income/gain.
Here in Canada, any gains or losses from bitcoin trading is taxable like any other gains or losses from any other security. Whether it's income or capital gains depends on how exactly you're going about trading.
Bulletin IT-479R explains the difference.