$0 Indiana — Cottage Food Business Requirements Checklist

Indiana HEA 1424: What the 2026 Homestead Food Sales Act Changes

House Enrolled Act 1424 — signed into law as Public Law 163 in March 2026 — is the most significant rewrite of Indiana's home food regulations in decades. It took effect July 1, 2026, replacing the former Home-Based Vendor (HBV) framework with a broader "Homestead Vendor" system that dramatically expands what home producers can legally sell.

Here's what the law actually does.

The Core Shift: From Non-TCS Only to Almost Everything

The former HBV law under IC 16-42-5.3, in effect through June 30, 2026, restricted home food production to non-TCS (non-time/temperature-controlled-for-safety) foods — baked goods, candy, honey, dry herbs, and high-acid jams. Cheesecakes, prepared meals, fermented foods, and anything containing meat were banned from home sale.

HEA 1424 rewrites that restriction. Under the new IC 16-42-5.4, qualifying homestead vendors can sell:

  • Prepared meals — casseroles, soups, meat pies, lasagna
  • Perishable baked goods — cream-filled pastries, custard pies, cheesecakes
  • Fermented foods — sauerkraut, kimchi, kombucha
  • Meat products — from livestock raised on the vendor's property, processed at a BOAH or USDA inspected facility, sold frozen or refrigerated in original intact packaging

The only blanket prohibition: products containing purchased, commercially sourced meat ingredients cannot be made at home under any framework.

Who Qualifies as a Homestead Vendor

The law defines two qualifying categories:

  • Homestead Vendor: A person who prepares and sells food or meat products at their primary residence or at a farmers market, with gross annual sales under $1.5 million.
  • Small Farm: Land used for growing crops or raising livestock with gross annual sales under $1.5 million.

That $1.5 million cap is generous — it applies to virtually every small-scale food producer in the state. Exceeding it reclassifies your operation as a commercial retail food establishment subject to full health department permitting.

State Preemption: Local Health Departments Lose Power

This is where the law has teeth. HEA 1424 explicitly prohibits state and local health departments from imposing rules, regulations, certifications, licensing requirements, or inspection fees on qualifying homestead vendors beyond what federal law requires.

Local health departments retain only two authorities:

  1. Investigating consumer complaints about foodborne illness or misbranding
  2. If a health hazard is identified during a complaint investigation, imposing fines up to $3,000 and issuing stop-sale orders

They cannot conduct pre-launch inspections, charge permit fees, or require any certification not mandated by federal law.

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Training Requirements Narrow

Under the former HBV framework, every vendor had to hold an ANSI food handler certificate regardless of how they sold. HEA 1424 changed this:

  • Face-to-face sellers (on-property, farmers markets): no mandatory training
  • Shippers and deliverers (mail, UPS/FedEx, third-party carriers): ANSI food handler certificate required, plus tamper-evident packaging and temperature control during transit

If you only sell at your farm gate and the Saturday market, the training mandate disappears.

New Labeling Language

The familiar HBV disclaimer — "This product is home produced and processed and the production area has not been inspected by the state department of health. NOT FOR RESALE." — was replaced with:

"This product was produced by a homestead vendor or the owner of a small farm that is exempt from government licensing and inspection."

All other labeling requirements (ingredient list, allergens, net weight, processing date, physical address) remain.

What Doesn't Change

Several things carry forward from the old system:

  • No pre-launch kitchen inspections
  • No local health department permit fees
  • Wholesale and resale still prohibited (grocery stores, restaurants, out-of-state sales trigger commercial licensing)
  • You still need a Registered Retail Merchant Certificate and must collect Indiana's 7% sales tax
  • Municipal zoning still applies — the food law preemption doesn't override home occupation permits

The full transition plan — including how to update your labels, which products move from banned to legal, and how to file under the new framework — is mapped in the Indiana Cottage Food & Home Food Business Guide.

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