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Business5 min read·September 3, 2026
Sarah Baker · Crosodo Editor

Maryland HB 535 raises the cottage food annual revenue cap to $100,000

Maryland HB0535 (Chapter 320, 2026) raises the cottage food annual revenue maximum from $50,000 to $100,000. The governor approved it on April 28, 2026. It takes effect October 1, 2026.

The short version
Maryland HB0535 is now Chapter 320 of 2026. The governor approved it on April 28, 2026. The official effective date is October 1, 2026. The bill increases from $50,000 to $100,000 the maximum annual revenue a business may generate from the sale of cottage food products and still be considered a cottage food business. This is not legal advice — read the official Maryland General Assembly bill page.

Maryland's cottage food rules include a dollar ceiling. Stay at or under that number from cottage food sales, and you can still be a cottage food business under the statute. Go over it, and that definition no longer fits. For years the ceiling has been $50,000 a year.

HB0535 — titled *Food Establishments - Cottage Food Businesses - Maximum Annual Revenue* — changes that one number. The official synopsis is a single sentence: it increases from $50,000 to $100,000 the maximum amount of annual revenue a business may generate from the sale of cottage food products to be considered a cottage food business.

The bill, in official facts

Bill
HB0535 / Chapter 320 (2026 Regular Session)
Title
Food Establishments - Cottage Food Businesses - Maximum Annual Revenue
Sponsors
Delegates Arentz, Ghrist, Jacobs, T. Morgan, and Reilly
Status
Approved by the Governor — Chapter 320 on April 28, 2026
House vote
Third Reading Passed 136–0 (February 26, 2026)
Senate vote
Third Reading Passed 42–0 (April 13, 2026)
Effective date
October 1, 2026
What it does
Raises the cottage food annual revenue maximum from $50,000 to $100,000
Statute touched
Health - General Article §21-301
Official page
https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/hb0535/?ys=2026rs

What that means in plain English

If you sell cottage food products from a Maryland home kitchen, the state uses annual revenue from those sales as part of whether you still count as a cottage food business. HB0535 doubles that ceiling. After the effective date, the maximum in the statute is $100,000 a year instead of $50,000.

The official page does not say how to count the year, what counts as “revenue,” or what happens if you go over. Those questions belong with the statute, the Maryland Department of Health, and — if you need it — a lawyer who reads Maryland food law. This post does not fill those gaps.

Directory
Browse the free cottage food directory

50 states + DC, county zoning, and free PDF reports.

When the new number applies

The official bill page lists the effective date as October 1, 2026. Until that date, this post does not treat $100,000 as the current maximum. Chapter 320 is enacted; the date the General Assembly printed on the bill is still in the future.

October 1 is the date on the bill
Do not plan as if the $100,000 figure is already in force. Confirm the current number with the Maryland General Assembly bill page and the Maryland Department of Health before you change how you track sales.

What this post does not claim

The official synopsis describes one change: the annual-revenue maximum. This post does not claim that Maryland changed what you may bake, how you must label, where you may sell, or whether you need a local permit. If those rules matter to your kitchen, read them from the official sources — not from a news write-up.

  • This is not legal advice. It is a plain-English restatement of the official bill page.
  • The official record is the bill page and the enrolled chapter, not Crosodo.
  • Local zoning, business licenses, and market rules are separate. A state revenue-cap change does not answer those questions.
  • The Maryland selling guide still shows $50,000. That is the current maximum until October 1, 2026. Use this post for the 2026 bill facts.

Official source

Every fact in this post comes from the Maryland General Assembly's 2026 Regular Session page for HB0535, last checked September 3, 2026. The page lists the title, sponsors, governor approval as Chapter 320 on April 28, 2026, the October 1, 2026 effective date, the Health - General §21-301 statute citation, the floor votes, and the synopsis quoted above.

Increasing from $50,000 to $100,000 the maximum amount of annual revenue a business may generate from the sale of cottage food products to be considered a cottage food business.

That is the official synopsis, word for word. If the General Assembly page or the Maryland Department of Health later posts implementing guidance, we will update this post from those sources — not from hearsay.

Maryland cottage food state guide
County links, official department page, and the rest of Maryland's cottage food rules — separate from this bill write-up.
Download the compliance planner
Free printable workbook — kitchen baseline, pre-launch checklist, and sales tracking. Not a substitute for the statute.

Crosodo Journal entries are recipe, craft, and cottage-food notes for home bakers. Recipes assume an active starter and basic equipment. Cottage food sales are governed by your state's law — start with the free state directory, check a product with Can I sell this?, or grab a label template. Not legal advice.

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