Michigan direct-to-consumer compliance guide, 2026
Body Care
Lotions, balms and scrubs: small makers skip FDA registration but not safety and labeling.
Federal Rules Only- $1MSmall business sales threshold
- 15 daysTo report a serious adverse event
- 3 yearsSmall business record retention
- 6%Michigan sales tax on toiletries
YesWhat's covered
- Lotions, balms, scrubs, bath salts, lip products and body butters as cosmetics
- True soap made only from fats and alkali, regulated as a consumer product
- Sales online, at markets and to retailers with proper labeling
- Small makers under $1M average sales exempt from registration and listing
NoNeeds a different path
- Eye-area, injected, internal or long-lasting non-removable products keep full MoCRA duties
- SPF, acne, dandruff or antiperspirant claims: over-the-counter drug rules
- Claims to treat skin disease: unapproved drug claims
- Ingestible products: food or supplement route
Three compliance steps
- A
Test your size and your products
Average your last three years of US cosmetic sales. Under $1 million exempts you from facility registration and product listing, unless you make a high-risk product type.
- B
Document safety and label fully
Keep safety substantiation for every product, list ingredients, add a domestic address, phone or electronic contact for adverse events, and state net quantity.
- C
Report, record and tax
Report serious adverse events to FDA within 15 business days and keep records three years. Collect 6% Michigan sales tax; toiletries are taxable.
Quick reference
| Item | Rule | Regulator |
|---|---|---|
| Facility registration, listing | Exempt if average sales under $1M over 3 years and no high-risk products | FDA |
| Safety substantiation | Required for every product, no small business exemption | FDA |
| Label contact | Domestic address, phone or electronic contact for adverse event reports | FDA |
| Serious adverse events | Report within 15 business days; keep records 3 years if small business | FDA |
| Drug claims | SPF, acne, dandruff claims trigger drug requirements | FDA |
| Sales tax | Toiletries are taxable; food is exempt | MI Treasury |
Frequently asked questions
Does the small business exemption cover me completely?
No. It removes registration and listing only. Safety substantiation, labeling and adverse event reporting still apply.
Is cold-process soap a cosmetic?
Soap made only from fats and alkali and marketed only as cleansing is not a cosmetic, but cosmetic claims or added ingredients can change that.
Does Michigan license cosmetics makers?
MDARD's licensing pages cover food, feed and plants. Check with your local government for home business rules.
Printable checklist
- Total gross cosmetic sales for the last 3 years
- List any eye-area, injectable, internal or non-removable products
- Write a safety substantiation file per product
- Print ingredients and a domestic contact on every unit
- Remove drug or disease claims from labels and ads
- Create an adverse event log and a 15-day reporting plan
- Register for Michigan sales tax