Making Tax Digital · Sole traders
How to assess the security of your tax software
ONLY£15A MONTHTax software holds information that deserves careful handling.
Tax software holds information that deserves careful handling. Reassurance should come from documented controls and a sensible access routine, not a phrase such as “bank-grade”. Knowing what to ask makes it easier to assess Avona or any other service without needing to become a security engineer.
Ask about the controls that matter
Encryption in transit protects data moving between systems; encryption at rest concerns stored data. Neither alone establishes how users are authenticated, who can access records, how backups are protected or how incidents are handled.
Ask for the current privacy information, retention arrangements, access controls and support process. A precise claim about AES-256, TLS versions, multi-factor authentication or security certification needs current product evidence. Do not infer it from a marketing adjective.
Understand the regulated service boundary
Avona's published product page identifies Finexer as the Open Banking provider and Avona's agency relationship. That is distinct from saying that every accounting function is FCA-regulated or that regulation eliminates all risk.
Check the permissions on bank connections and the access given to accountants or colleagues. Protect the email account or device used for sign-in and recovery. A secure service cannot prevent every problem caused by a forwarded access link or a shared account.
Worked comparison: a useful security question
| Vague reassurance | More useful question |
|---|---|
| “Your data is secure” | Who can access it and how is access removed? |
| “Encrypted cloud storage” | What is encrypted, including backups? |
| “Never lose a record” | What export and recovery options are available? |
| “Regulated banking” | Which provider and which permission are involved? |
The aim is a documented answer you can understand and act on.
Share the information needed for the task
Tax records need to be useful without containing unnecessary personal detail. Keep payment references sufficient to reconcile the accounts, and hold sensitive client notes in the appropriate restricted system. Financial software should not become a second, informal store for clinical notes or identity documents.
Use individual accounts and the access controls available for the service. Remove access when a working relationship ends. A secure product can still be misused through shared sign-ins, forwarded access links or files sent to the wrong person.
For Open Banking, distinguish account-information access from payment initiation. Read the consent screen and check the authorised provider. Account-information permission does not itself authorise moving money, but Open Banking as a whole also includes separately authorised payment services. The FCA explains these different services.
If you need an assurance about encryption, hosting, retention or security testing, ask for the current documented answer. Terms such as “bank-grade” do not tell you which controls apply to a particular service. Choose a workflow whose permissions and responsibilities you understand, and protect the email or phone account used to recover access.
Keep the evidence connected to the figures
Your digital record should explain the amount, date and nature of the transaction. Keep the invoice, receipt, statement or other evidence that supports it. A photograph can make a paper document easier to retain, but a folder of photographs alone does not create complete transaction records.
For sole traders, HMRC normally requires business records to be kept for at least five years after the relevant 31 January filing deadline. Keep them longer where the rules for a late return, enquiry or other circumstances require it. Check the record-retention guidance.
Make the records usable by your future self. Include a short explanation where a bank description is vague, retain the calculation behind a business-use split and make corrections traceable. For a missing receipt, try the supplier account, email confirmation or a replacement invoice before relying on incomplete evidence.
At review time, compare your records with the bank or payment account and investigate differences. Equal totals are useful, but two errors can cancel each other out. A sample of individual transactions can reveal a duplicated purchase or an omitted customer receipt that a totals-only check misses.
Choose software by the work it needs to do
Start with your actual income sources and records. A sole trade, a UK property business and foreign property can involve different requirements. A product suitable for one set of circumstances is not automatically suitable for every annual-return item you might have.
HMRC's software guidance allows different approaches, including software connected to existing spreadsheets. Check the complete workflow: importing or recording transactions, reviewing the quarterly summary, submitting it, making corrections and completing the annual return.
Try a representative sample that includes a refund, a private transaction, a cash item and an awkward bank description. Ask how the system handles a missing period and how you export records if you leave. These questions are more informative than a long feature list.
Software support and professional tax advice are different services. Confirm who answers each kind of question, when help is available and what the quoted fee covers. Avona.app's entry-level self-service price is £15/month; professional services and additional product capabilities should be checked against the current scope rather than assumed to be included.
Review access when circumstances change
Remove former staff and advisers, update recovery details and keep exports where appropriate. Use the provider's approved support channel for security questions. Avoid sending full identity documents or financial records through an unverified message.
Take the next step
Avona.app offers a self-service route from £15/month. Bring your records together, review the figures and choose a workflow that fits your business. For professional help, discuss the scope and total price of Avona Concierge, managed by chartered accountants, before choosing a service.