Texas Cottage Food Law (2026): Rules, Limits and How to Start
Do you need a license to sell homemade food in Texas?
Texas does not require a permit or license to sell most homemade foods from your own kitchen. You register with the Department of State Health Services only if you sell refrigerated (TCS) foods or you act as a third-party vendor. You must finish an accredited food handler course and put a compliant label on every product.
Texas lets most home food sellers start without a state license, with a permit or registration reserved for certain foods or sales channels. Foods like baked goods and candy are the common starting point. The page below shows exactly which step applies to your product.
Texas caps annual cottage food sales at $150,000 gross income per operator per year. Tripled from $50,000 by Senate Bill 541 effective September 1, 2025.
Senate Bill 541 took effect September 1, 2025. Senate Bill 541 raised the annual gross income cap from $50,000 to $150,000, set it to adjust for inflation and let cottage producers sell most foods not on the prohibited list, including refrigerated foods once registered with DSHS. This page reflects the rule in force today; the full history sits in the law-updates log.
How much can you sell? The Texas sales cap
The annual sales limit for a Texas cottage food operation.
| Item | Texas rule |
|---|---|
| Annual sales cap | $150,000 gross income per operator per year |
| How it works | Tripled from $50,000 by Senate Bill 541 effective September 1, 2025. The $150,000 figure adjusts for inflation going forward. Counts gross income from cottage food sales, not net profit. |
What foods can you sell in Texas?
Allowed and prohibited categories under current Texas law.
| Allowed (examples) | Prohibited |
|---|---|
| Baked goods; Candy; Granola; Dried herb and spice mixes; Jams and jellies; Pickled and fermented vegetables; Roasted coffee; Dry baking mixes; Most other non-prohibited foods (SB 541 expanded to allow foods not specifically prohibited); Refrigerated (TCS) foods once registered with DSHS. | Meat and poultry; Seafood and fish; Ice cream and other frozen desserts; Low-acid canned goods; Raw milk and raw milk products; Any product containing CBD or THC. |
Texas cottage food label requirements
Every package you sell needs a label with the elements below in legible print.
- Cottage food operation name
- Your address, or your DSHS ID number in its place
- The product name
- Major allergen declarations (eggs, tree nuts, soy, peanuts, milk, wheat, sesame) if present
- Batch or lot number (pickled, fermented or acidified products)
- Production date and safe-handling line (refrigerated TCS foods)
- The state disclosure statement in capital letters (verbatim above)
Texas requires this disclosure statement, word for word:
THIS PRODUCT WAS PRODUCED IN A PRIVATE RESIDENCE THAT IS NOT SUBJECT TO GOVERNMENTAL LICENSING OR INSPECTION.
Reproduced from Texas's cottage food labeling requirements. Confirm the current wording with Texas Department of State Health Services before you print a run of labels.
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Where can you sell in Texas?
The venues and channels Texas cottage food operators may use.
| Channel | Allowed in Texas? |
|---|---|
| Direct to consumer in person (home, farmers markets, farm stands) | Yes |
| Retail stores and food service establishments | Yes. Non-refrigerated foods only |
| Online orders with personal delivery | With conditions. Buyer may order online but you or a household member must personally deliver; label info must reach the buyer before payment |
| Wholesale through a registered third-party vendor | With conditions. Non-TCS foods only |
| Refrigerated (TCS) foods sold wholesale | No. Direct to consumer only |
| Mail or carrier shipping across state lines | Not clearly authorized. Texas sources do not clearly authorize interstate carrier shipping; treat as unconfirmed and check with DSHS |
Registration, training and inspection
Registration and permits. No registration for the basic non-TCS path. Registration with DSHS is required only for refrigerated (TCS) foods or for third-party vendors selling another producer's cottage foods.
Food safety training. Operators must complete a basic food safety or food handler course accredited under Health and Safety Code Chapter 438. A food manager certification also satisfies the requirement.
Kitchen inspection. Texas law bars local governments and health departments from inspecting cottage food operations, requiring a permit or charging a fee. Health authorities keep only emergency powers for an immediate and serious threat to health.
The fees a Texas cottage food seller can expect.
| Item | Cost |
|---|---|
| Basic cottage food operation (non-TCS) | No state fee |
| DSHS registration fee for TCS foods or third-party vendor | Not published; confirm with Texas Department of State Health Services |
| Food handler course | approx $15 to $50 (third-party accredited providers, not a state fee) |
