1) If you throw your wallet into a well, you won't be able to access that money, either.
2) People have been bartering for centuries and taxation of barter is already well defined by government. Bitcoin transactions get handled the exact same way.
3) You're witnessing the birth of a new currency, price fluctuation can't be avoided. However, bitcoin prices will stabilize over time. Plus, there's services that immediately convert you BTC into fiat currency to avoid this problem.
2) People have been bartering for centuries and taxation of barter is already well defined by government. Bitcoin transactions get handled the exact same way.
3) You're witnessing the birth of a new currency, price fluctuation can't be avoided. However, bitcoin prices will stabilize over time. Plus, there's services that immediately convert you BTC into fiat currency to avoid this problem.