That's an oversimplification to binary -- of course neither Bitcoin nor anything else is a magical solution to the fact that your government (or any other sufficiently powerful entity) could point a gun at your head (either literally or metaphorically) and force you to comply with whatever demands/rules they've come up with.
The question is, how practical is it for a government to do that on a regular/systemic basis? With a formal banking system, it's quite possible, since there are only a small number of banks and they are easy for a government to regulate. With Bitcoin, it's still possible, but (for now, anyway) considerably more difficult/expensive to carry out, which is why you only see it done in special cases where the government(s) involved can justify the significant cost of doing so.
Perhaps a government will in the future come up with a practical way to systematically regulate all p2p bitcoin-like traffic that can't be easily circumvented, but they haven't done it yet and it might turn out that it's infeasible to do it, ever.