Home Bakery (Cottage Food) Permit Requirements in San Diego, CA

1. EIN (Employer Identification Number)

   Free from the IRS — apply online and receive your EIN immediately upon approval; the IRS never charges for an EIN (avoid third-party sites that do). Federally required if you hire employees or operate as a corporation or partnership (including a multi-member LLC); a single-member LLC with no employees and no excise-tax liability may use the owner's SSN instead, though most banks ask for an EIN to open a business bank account.

   Official government source

   Free·Immediate

   Free

   Immediate

1. California Cottage Food Operation Program (CDPH)

   California's Cottage Food Operation program is established under AB 1616 (California Homemade Food Act) and regulated by the California Department of Public Health. The actual registration and permitting occurs at the county level (San Diego County DEHQ). CDPH maintains the list of approved non-potentially-hazardous foods that may be produced in a home kitchen.

   Official government source

   No separate state fee — regulated at county level·N/A

   No separate state fee — regulated at county level

   N/A

2. California Seller's Permit

   If selling taxable goods in California, register with the California Department of Tax and Fee Administration (CDTFA) for a seller's permit. Cottage food sales may be subject to California sales tax depending on the product type and sale method. Registration is free.

   Official government source

   Free·Immediate (online)

   Free

   Immediate (online)

1. San Diego County Cottage Food Operation — Class A Registration

   Class A cottage food operators sell directly to consumers only (no wholesale). Registration is issued by the San Diego County Department of Environmental Health and Quality (DEHQ). The initial registration fee covers review of up to 10 product labels; additional labels are billed at DEHQ's hourly rate (minimum 1/2 hour). An approved food processor course (food handler training) must be completed within three months of registration. Annual gross-sales caps for cottage food operations are set by state law and adjusted periodically - check the current cap with CDPH or DEHQ.

   Official government source

   $231 initial registration (includes up to 10 labels; DEHQ fee schedule effective July 10, 2026); $92 annual renewal; additional label review at hourly rate·2–4 weeks

   $231 initial registration (includes up to 10 labels; DEHQ fee schedule effective July 10, 2026); $92 annual renewal; additional label review at hourly rate

   2–4 weeks

2. San Diego County Cottage Food Operation — Class B Permit (if wholesaling)

   A Class B cottage food permit is required if you sell through retailers, restaurants, or other indirect channels in addition to direct sales. San Diego County DEHQ conducts a home kitchen inspection before issuing the permit. Annual gross-sales caps are set by state law and adjusted periodically - confirm the current cap with CDPH or DEHQ. Required only if you plan to sell wholesale/indirect.

   Official government source

   $526 initial permit (includes up to 10 labels; DEHQ fee schedule effective July 10, 2026); $361 annual renewal·4–8 weeks (includes home kitchen inspection)

   $526 initial permit (includes up to 10 labels; DEHQ fee schedule effective July 10, 2026); $361 annual renewal

   4–8 weeks (includes home kitchen inspection)

3. City of San Diego Business Tax Certificate

   All businesses operating in the City of San Diego must obtain a Business Tax Certificate from the Office of the City Treasurer. It is a tax registration, not a regulatory license. The fee is based on employee count only: $34/year for businesses with 12 or fewer employees, or $125/year plus $5 per employee for 13 or more employees. Every application and renewal adds a $4 state-mandated SB-1186 fee, and beginning July 1, 2025 an annual Minimum Wage Enforcement Fee of $1.47 per employee also applies. Renewed annually.

   Official government source

   $38/year for most small businesses ($34 business tax + $4 SB-1186 fee; 12 or fewer employees); $129/year + $5 and $1.47 per employee for 13+ employees·1–2 weeks

   $38/year for most small businesses ($34 business tax + $4 SB-1186 fee; 12 or fewer employees); $129/year + $5 and $1.47 per employee for 13+ employees

   1–2 weeks

Official Sources

• San Diego County DEHQ — Cottage Food Operations
• San Diego County — Class A Registration Form
• San Diego County DEHQ — Fee Schedule
• CA CDPH — Cottage Food Operations
• California Cottage Food Laws 2026 — Standscout

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