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This should be fixed in Textastic 2.1
UPDATE: I finally received the necessary documents from the US government! SFTP will be in the next version of Textastic!


Previous Status was: Textastic 2.0 will have an FTP client. SFTP (a subsystem of ssh) is mostly working too already, but every app on the App Store has to respect US export laws regarding encryption algorithms.

This is what Apple says:
"Your application will be uploaded to an Apple server in the U.S., which means that your product will be exported from the U.S. and is captured by U.S. export laws. This requirement applies even if you only plan to distribute within your own country."

I've started the commodity classification request process but I can't release a version of Textastic with SFTP support before I receive the the required documents from the Bureau of Industry and Security (U.S. Department of Commerce). Unfortunately this can take a few weeks (hopefully not months).
I can't run the WebDAV server in the background because of Apple's limitations.

These are the services that are allowed to run:

* audio - The application plays audible content to the user while in the background.
* location - The application keeps users informed of their location, even while running in the background.
* voip - The application provides the ability for the user to make phone calls using an Internet connection.
* Task completion—applications can ask the system for extra time to complete a given task. (max. 10 minutes)

Since a web server doesn't fall into any of those categories, I need to shut it down when you leave the app.
Textastic 2.1 will honour the system setting for keyboard sounds.
You can preview HTML with CSS and JavaScript using the builtin preview feature.

Apple doesn't allow execution of user-supplied code on iOS devices, so I can't add this feature for languages like C# oder VB.
Sounds like you're not using Textastic 2.0 yet. This version requires iOS 4 though.

So your problems should be fixed when you update to Textastic 2.0: there it's possible to create files that start with a dot (like ".htaccess").