Security

Last updated: August 3, 2026

Taxhance is built to handle sensitive financial data. Security is not an add-on. It is foundational to every layer of our platform, from infrastructure to AI processing.

Data Encryption

AES-256 encryption at rest and TLS 1.3 encryption in transit protect every document and message.

Infrastructure

Hosted on Microsoft Azure (SOC 2 Type 2 and ISO 27001 certified) with U.S.-based data centers and enterprise-grade DDoS protection.

Access Controls

Role-based permissions with granular team-member and client access scopes.

Audit Trails

Every sign-in, document upload, share, download, permission change, and administrative action is logged with actor, timestamp, IP, and affected entity. Audit history is retained for up to 1 year and exportable on request.

Compliance

Hosted on Microsoft Azure infrastructure, which maintains SOC 2 Type 2 and ISO 27001 certifications. Taxhance is actively pursuing its own SOC 2 Type 1 certification and is GDPR compliant.

AI Data Privacy

Zero Data Retention (ZDR) policy for AI processing. Client data is never stored by AI services or used for model training. Documents are classified and context is immediately discarded.

IRS Section 7216-Compliant Workflow

AutoKey provides U.S.-based auxiliary data-entry services solely for tax return preparation, consistent with Treasury Regulation §301.7216-2(d)(1).

Only Your Team Has Access

Only your team touches your data. No one on our end can access the data.

System Updates

Our infrastructure receives regular security patches and updates. We perform continuous vulnerability scanning and threat monitoring to identify and address potential risks before they become issues.

Security FAQ

Is my clients' tax data encrypted?
Yes. All data is encrypted with AES-256 at rest and TLS 1.3 in transit. Taxhance team members cannot access raw client documents.
Does Taxhance use my data to train AI models?
No. AI processing is ephemeral. Documents are classified and the processing context is immediately discarded. Your data is never used for model training.
Can Taxhance team members see my data?
Absolutely not. Only your team touches your data. No one on our end can access the data.
Where is my data stored?
All data is stored on Microsoft Azure infrastructure in U.S.-based data centers with enterprise-grade physical and network security.
How long do you retain audit logs?
Audit trails are retained for up to 1 year. We log every authentication event, document upload and download, share-link creation, permission change, and administrative action — including the actor, timestamp, IP address, and affected resource. Firm owners can request an export of their audit history at any time.

Questions?

If you have security questions or need to report a vulnerability, contact us at contact@taxhance.com.