Arizona cottage food laws

Arizona governs home-based food sales under ARS §36-136(H)(4) and the rules ADHS publishes on its Cottage Food Program page. The basic program has been around since 2011, but Governor Hobbs signed HB 2042 in 2024 and the expanded rules took effect September 14, 2024. The expansion was significant: it kept the no-fee, no-inspection, no-cap structure of the original law and layered on perishable foods, certain meat and poultry products, and prepared meals.

Operators must finish an ANAB-accredited food handler course before they register and must keep the certificate current. Registration itself is a short online form on the ADHS site and produces a state-issued registration number that goes on every label. There is no kitchen inspection in the standard program. Counties cannot prohibit cottage food production, although Maricopa County and others sometimes publish their own clarification guides.

Sales are limited to Arizona consumers. You can sell in person, at farmers markets, at festivals, online to in-state buyers, and (for non-perishable items only) into certain retail and wholesale channels. Perishable cottage products created under the HB 2042 expansion must be sold directly to the end consumer and cannot move through retailers. Shipping out of state is not allowed under cottage food law because it crosses into federal interstate commerce.

Arizona is unusual in that there is no cap on gross annual sales. A baker can scale a cottage operation to whatever size the home kitchen and Arizona market will support, as long as labeling, training, and direct-to-consumer rules are followed.

Arizona does not set a cap on gross annual sales for cottage food operators. The same registration covers both non-perishable and perishable HB 2042 products and there is no separate revenue ceiling for either category. Operators are still subject to federal income tax, Arizona transaction privilege tax (TPT) where applicable, and any local business licensing rules.

Every Arizona cottage food operator must finish an ANAB-accredited food handler course before submitting the ADHS registration. The course is online, takes about 60 to 90 minutes, and typically costs $7 to $15. The certificate is generally valid for three years. Keep a digital or printed copy with your records and have it ready if ADHS or a county inspector asks.

Registration is free and is done entirely online through the ADHS Cottage Food Program portal. You upload a copy of your ANAB-accredited food handler certificate, fill out a short application, and ADHS issues a registration number that you place on every label. There is no kitchen inspection, no fee, and no annual renewal of the registration itself, although the food handler certificate must stay current. If you plan to sell perishable foods under HB 2042, indicate that on the application.