To sell food legally in Texas, the permits you need to sell food in Texas start with two basics: a food establishment permit from your local health authority (or from the Texas Department of State Health Services if no local authority covers your area) and a Texas Sales and Use Tax Permit from the Comptroller. From there, the list grows based on what you sell, where you sell it, and who you sell it to. A home baker, a food truck, a festival vendor, a wholesaler, and a restaurant pouring wine each face a different stack of requirements.
The Food Establishment Permit
Texas splits food safety oversight between the state and local governments. If your city, county, or public health district runs its own permitting and inspection program, you get your permit from them. If you operate somewhere no local authority handles food permitting, you apply to the Texas Department of State Health Services (DSHS) instead.1State of Texas. Texas Health and Safety Code Chapter 437 – Regulation of Food Service Establishments, Retail Food Stores, Mobile Food Units, Roadside Food Vendors, and Temporary Food Service Establishments Most Texas cities and major counties run their own health departments, so most restaurants and food stores deal with a local health authority rather than DSHS directly.
You cannot legally serve food to the public without one. Operating without a required DSHS permit is a Class A misdemeanor; operating without a required local permit is a Class C misdemeanor, and each day of unpermitted operation counts as a separate offense.2State of Texas. Texas Health and Safety Code 437.0165 – Criminal Penalty: Violation of Department Permit Requirement3State of Texas. Texas Health and Safety Code 437.016 – Criminal Penalty: Violation of County and Public Health District Permit Requirements
A few operators are exempt from DSHS permitting: nonprofits registered as 501(c) organizations, businesses already licensed as food manufacturers by DSHS, and any entity already inspected and permitted by a local health authority.4Texas Department of State Health Services. Permitting Information – Retail Food Establishments
Sales Tax Permit
If you sell prepared food, you need a Texas Sales and Use Tax Permit from the Comptroller’s office. The Comptroller issues a separate permit for each location where you do business.5State of Texas. Texas Tax Code 151.201 – Sales Tax Permits The application is free and goes through the Comptroller’s website.
Not everything you sell is taxable. Basic grocery items such as flour, bread, milk, eggs, fruits, and vegetables are exempt. Prepared food is taxable, which includes anything served hot, anything sold with utensils like forks or plates, sandwiches, and food combined from multiple ingredients for immediate consumption such as deli salads or fresh salsa.6Texas Comptroller. Grocery and Convenience Stores For restaurants and food trucks, virtually everything you sell falls on the taxable side. At a farmers market selling packaged goods, much of what you sell may be exempt.
Food Handler and Food Manager Certifications
Texas requires two levels of food safety training for your staff. Every employee who handles unpackaged food, food equipment, or food-contact surfaces must complete an accredited food handler training course. An ANSI-accredited or DSHS-accredited program satisfies local requirements, and local authorities cannot charge you a separate fee or require a local food handler card on top of that.7State of Texas. Texas Health and Safety Code Chapter 438 – Public Health Measures Relating to Food Your local health department can require you to keep certificates on the premises.
At least one person with supervisory authority over food preparation must also hold a certified food protection manager credential, earned by passing an exam through an accredited program.8Texas Department of State Health Services. Food Manager Licensing This is separate from food handler training. Most food managers complete the course and exam in one to two days.
Selling From Home Under the Cottage Food Law
If you cook or bake at home and sell directly to consumers, Texas cottage food law gives you a much lighter path. Cottage food production operations are exempt from food establishment licensing, and local health departments cannot require you to get a permit, pay a fee, or submit to inspections.9Texas Department of State Health Services. Texas Cottage Food Production Texas law also prohibits cities from using zoning ordinances to ban cottage food production in a home, though homeowner association rules and leases are a separate matter.
The annual gross income cap is $150,000. The product range is broader than many people realize, and now includes foods that require refrigeration (“time and temperature control for safety” or TCS foods), as long as you register with DSHS if you sell those items. What you cannot sell as a cottage food operation:
- Meat and poultry products
- Seafood, fish, and shellfish products
- Ice and frozen items including shaved ice, ice cream, frozen custard, popsicles, and gelato
- Low-acid canned goods
- CBD or THC products
- Raw milk and raw milk products
Everything else, from baked goods and jams to pickled vegetables and fermented products, is allowed.9Texas Department of State Health Services. Texas Cottage Food Production
Even without a permit, cottage food products must be labeled. Every label needs your operation’s name, your address or a unique identification number, the common name of the product, and any major food allergens (eggs, tree nuts, soy, peanuts, milk, wheat, and sesame). The label must also carry the specific disclosure: “THIS PRODUCT WAS PRODUCED IN A PRIVATE RESIDENCE THAT IS NOT SUBJECT TO GOVERNMENTAL LICENSING OR INSPECTION.”9Texas Department of State Health Services. Texas Cottage Food Production If you sell TCS foods, the label must also show the date the food was made and include safe handling instructions telling the customer to keep the product refrigerated or frozen until consumption, with that statement in at least 12-point font.
Food Trucks and Trailers
Mobile food units have historically faced the most complicated permitting landscape in Texas, and the rules are changing in 2026. Starting July 1, 2026, Texas is transitioning to a single annual medallion recognized statewide for mobile food units, created by Senate Bills 1008 and 2488.10Houston Health Department. Mobile Food Units Previously, food truck operators needed separate permits from every local jurisdiction where they parked. The new law also aligns local fee structures with the DSHS risk-based fee model, and as of July 2026, DSHS permit requirements under Chapter 437 no longer list mobile food units.1State of Texas. Texas Health and Safety Code Chapter 437 – Regulation of Food Service Establishments, Retail Food Stores, Mobile Food Units, Roadside Food Vendors, and Temporary Food Service Establishments
Regardless of permitting changes, every mobile food unit must operate from a licensed central preparation facility, commonly called a commissary. That is where you store food, get fresh water and ice, dispose of wastewater, and clean equipment that will not fit in your truck’s sink. The commissary must be an approved retail food establishment, and you must keep its most recent inspection report on your unit at all times. If you do not own the commissary, you need a signed letter of authorization from the owner.11Texas Department of State Health Services. Mobile Food Units: How to Mobilize Your Food Operation Under DSHS Definition A private home cannot serve as your commissary. Losing the commissary’s permit can trigger suspension of any medallion issued to a unit it services.
Festival and Event Vendors
If you sell food at festivals, fairs, or similar events, you need a temporary food establishment permit, unless you operate as a registered 501(c) nonprofit or the event takes place in an area already covered by a local health authority. DSHS offers two options: a single-event permit covering one booth at one event for up to 14 consecutive days, and a multiple-event permit covering one booth at multiple events over a two-year period.12Texas Department of State Health Services. Temporary Food Establishment Permit and Compliance Requirements If you work the festival circuit regularly, the multiple-event permit saves considerable hassle.
Wholesale vs. Retail
Everything above covers retail sales, meaning food sold directly to the person who eats it. If your business model involves selling food products to grocery stores, restaurants, or other retailers for resale, you need a different license entirely. DSHS requires a food wholesaler, warehouse operator, or food wholesale registrant license for businesses that distribute food to retail outlets.13Texas DSHS. Frequently Asked Questions – Food Manufacturers, Wholesalers, and Warehouses A retail food establishment permit does not authorize wholesale distribution. If you plan to do both, you need both licenses.
Cottage food producers face extra wholesale restrictions. You can sell cottage food products to a cottage food vendor for resale, but TCS foods are not eligible for wholesale at all.9Texas Department of State Health Services. Texas Cottage Food Production
Adding Beer, Wine, or Liquor
Selling alcoholic beverages alongside food requires a separate permit from the Texas Alcoholic Beverage Commission (TABC), completely independent of your food permits. The permit type depends on what you want to serve. A Wine and Malt Beverage Retailer’s Permit (BG) covers beer and wine for on-premise consumption. If you want to serve liquor, cocktails, or mixed drinks, you need a Mixed Beverage Permit (MB) instead.14TABC. TABC License and Permit Types
Mixed Beverage Permit holders should also look at the Food and Beverage Certificate (FB). If you hold the MB but do not qualify for the FB Certificate, you must post a $5,000 conduct surety bond with TABC. Qualifying for the certificate generally means meeting the statutory definition of a restaurant or keeping alcohol sales at 60% or less of total revenue.14TABC. TABC License and Permit Types
How to Apply and Renew
For a DSHS food establishment permit, apply through the DSHS online licensing system or submit a paper application by mail.4Texas Department of State Health Services. Permitting Information – Retail Food Establishments Local health departments typically have their own online portals or accept applications in person. Apply for a sales tax permit online through the Texas Comptroller’s website.
Expect your local health department to schedule an inspection before issuing a permit for a new fixed location. The inspector will look at kitchen layout, equipment, water supply, waste disposal, handwashing stations, and food storage. Having a proposed menu, a written food safety plan, food handler certificates, and your food manager’s credential ready will speed things up.
Most DSHS food permits run on a two-year renewal cycle, with the renewal window typically opening one to three months before expiration.15Texas Department of State Health Services. New Applications and Renewals – Online Licensing Help Center A lapsed permit means you cannot legally operate, so put the renewal date on your calendar early. Fees vary by permit type and jurisdiction, and the renewal process mirrors the initial application.