If you sold cottage food in Texas before September 1, 2025, everything you knew about the rules just got a rewrite. Senate Bill 541 is the biggest change to Texas cottage food law in years, and this guide is built around it: what changed, what didn't, and what to double-check with the Texas Department of State Health Services (DSHS) before you rely on it. For how Texas compares to other states, see our full cottage food laws by state guide.
Texas Cottage Food Law: The Timeline
An earlier attempt to reform Texas cottage food law is sometimes cited online, but it never became law. It's worth knowing about only so you don't mistake it for current rules.
Cottage food operators were capped at $50,000 in gross annual income, and refrigerated/time-temperature-control-for-safety (TCS) foods like cheesecakes and cut produce were off-limits entirely.
Senate Bill 541 amended Health & Safety Code Chapter 437, tripling the sales cap to $150,000 per year and indexing it to inflation (CPI-U) going forward. It also opened the door to TCS foods for operators who register with the state as TCS sellers.
π² Current Texas cottage food law runs through SB 541 (2025), effective September 1, 2025 β not the 2017 House Bill 1926 reform attempt that's sometimes cited online but never passed.
Food Handler Training Is Still Required
Yes β Texas requires food safety training for cottage food operators. Under Health & Safety Code Chapter 438(D), you need an accredited basic food safety or food handler course. A current Food Manager Certification satisfies this requirement instead, if you already hold one. This training requirement is unaffected by SB 541's expansion of sales limits and allowed foods β see our Texas food handler card requirements page for approved course options, and our guide on whether home bakers need a food handler card for more on how this compares across states.
No Permit, No Fee β With Two Exceptions
For basic direct-to-consumer sales, Texas requires no permit and no fee, ever β local health authorities are explicitly barred from imposing one. State-level registration with DSHS is only required if you (a) sell TCS/refrigerated foods, or (b) operate as a registered "cottage food vendor" reselling other producers' goods at markets or retail. Inspections follow the same pattern: there are none for standard cottage food production, and local health departments are explicitly barred from regulating or inspecting it.
What Foods Are Allowed
Texas uses an exclusion list β everything is allowed except what's specifically named.
| Category | Status | Notes |
|---|---|---|
| Meat, poultry, seafood; ice products; low-acid canned goods; CBD/THC products; raw milk | Not allowed | Off-limits under the exclusion list regardless of SB 541. |
| Refrigerated/TCS foods (cheesecakes, cream pies, cut produce, cheese) | Allowed, with registration | Newly allowed under SB 541 β only if you register as a TCS seller with DSHS. |
| High-acid canned, pickled, and fermented items | Allowed | Requires batch-number labeling. |
Sales Channels: Selling In Texas vs. Shipping Orders
Direct, Markets & Wholesale
Unlimited direct sales from your home are allowed. Selling at farmers markets, retail, or restaurants requires registering as a "cottage food vendor." Wholesale to a registered vendor is allowed for non-TCS foods. Samples are allowed anywhere, and donations of non-TCS foods are permitted.
Personal Delivery Required
Online sales are permitted, but Texas law requires personal delivery by the operator, an employee, or a household member. Shipping through a common carrier like USPS or UPS is not clearly allowed under current rules, so don't assume it's covered without checking DSHS directly.
Labeling Requirements
Labels need your operation's name and address (or a DSHS ID number in place of the address), the product name, and a mandatory disclosure statement to the effect of "THIS PRODUCT WAS PRODUCED IN A PRIVATE RESIDENCE THAT IS NOT SUBJECT TO GOVERNMENTAL LICENSING OR INSPECTION" β confirm the exact required wording on DSHS's website rather than treating this as a guaranteed verbatim quote. Allergen disclosure (the 9 federal major allergens) is recommended. TCS foods additionally need a date-made mark and a safe-handling statement in at least 12-point font.
Frequently Asked Questions
What changed for Texas cottage food operators under SB 541?
Senate Bill 541 (effective September 1, 2025) tripled the annual gross sales cap from $50,000 to $150,000, indexed the new cap to inflation (CPI-U) going forward, and opened the door to TCS foods for operators who register with the state as TCS sellers.
Is food handler training still required after SB 541?
Yes. Health & Safety Code Chapter 438(D) still requires an accredited basic food safety/food handler course, unaffected by SB 541. A current Food Manager Certification can be used in place of the food handler course.
Do Texas cottage food operators need a state permit or inspection?
No permit, fee, or home inspection is required for basic direct-to-consumer sales, and local health authorities are barred from imposing either. State-level DSHS registration is only required if you sell TCS foods or operate as a registered cottage food vendor reselling for other producers.
Can a Texas cottage food business ship orders out of state?
Online sales are allowed, but Texas law requires personal delivery by the operator, an employee, or a household member. Shipping via a common carrier like USPS or UPS is not clearly permitted under current Texas cottage food rules, so confirm with DSHS before relying on it.
Get the accredited food safety training Texas cottage food operators need under Chapter 438(D).
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