Payments · Skincare5 min readUpdated October 26, 2026

Is It Legal to Sell Skincare Products Online?

Yes, without FDA approval for cosmetics. What applies in 2026: cosmetic vs drug, MoCRA duties, the small business exemption and state bans.

Nick Bonnassies, CMO at Tagada · checked against 11 sources

Article summary

Legal, with obligations

TL;DR

Yes. Cosmetics don't need FDA approval before sale in the US. What decides your obligations is whether the product is a cosmetic or a drug: claims to treat acne or remove wrinkles make it a drug. Cosmetic brands follow MoCRA (facility registration, product listing, adverse event reporting, safety records, a US contact on the label) unless the small business exemption applies, plus state ingredient bans.

A cosmetic is for "cleansing, beautifying, promoting attractiveness, or altering the appearance"; a drug treats disease or affects "the structure or any function of the body".
Products "to remove wrinkles or increase the skin's production of collagen" are drugs or devices; "moisturizing is a cosmetic claim".
MoCRA requires serious adverse events to be reported within 15 business days.
The small business exemption covers average annual sales under $1,000,000, but not adverse event reporting or safety substantiation.
Washington's ingredient ban applies to products "sold in or into Washington (online or in person)" since January 1, 2025.

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This guide is part of our hub on skincare payment processing. General information, not legal advice.

Cosmetic or drug decides the rules

Product	Status	Why	Source
Moisturizer, cleanser, makeup	Cosmetic	Beautifying, cleansing1	21 U.S.C. 321(i)
Moisturizer or makeup with SPF	Cosmetic and drug	Sun protection is a drug claim2	FDA
Acne treatment, sunscreen	OTC drug	Treats or prevents2	FDA
"Removes wrinkles", "boosts collagen"	Drug or device	Affects structure or function4	FDA

Fig. 1Same jar, different rules: it depends on the claim

Moisturizing
A cosmetic claim: beautifying, cleansing, altering the appearance.
With SPF
Cosmetic and drug: sun protection is a drug claim.
Treats acne
An OTC drug: the product treats or prevents.
Boosts collagen
A drug or device: it affects structure or function.

The label and the ads decide, not the formula alone.

21 U.S.C. 321 and FDA guidance on cosmetics, drugs and anti-aging products.

FDA warning letters show the pattern: "Clears Acne & Scars" on peels sold online (2024), sunscreen claims on a body wash (2025), "Hyperpigmentation, Melasma" on a lightening product (2025)11.

MoCRA in 2026

Obligation	Rule	Status	Source
Facility registration	Renew every two years; new facilities within 60 days	In force	3
Product listing	Within 120 days of marketing; annual update	In force	3
Serious adverse events	Report within 15 business days; keep records 6 years (3 for small businesses)	In force	3
Safety substantiation	The responsible person keeps adequate evidence	In force	3
Label contact	US address, phone or electronic contact	In force since December 29, 2024	3
Fragrance allergens on labels	Depends on an FDA rule	Not yet in force	3
Good manufacturing practice	FDA rule expected	Not yet published	3

Fig. 2MoCRA deadlines in a brand's life

New facilityRegister within 60 days
Product on saleList it within 120 days
Every yearUpdate the product listing
Every two yearsRenew the facility registration
Serious adverse eventReport within 15 business days

Registration and listing can be waived for small brands. Adverse event reports cannot.

FDA, MoCRA page, updated August 10, 2026.

The "responsible person" is the manufacturer, packer or distributor named on the label3. Private label? That's often you.

Small business exemption

Who: average gross annual sales under $1,000,000 over three years3.
What it covers: registration, listing and future GMP rules3.
What it doesn't cover: products for the eye area, injected, for internal use, or altering appearance for more than 24 hours3.
Still due: adverse event reporting, safety substantiation and labeling; the law exempts only two sections, though the FDA doesn't spell this out.

What the exemption waives

Facility registration
Product listing
Future good manufacturing practice rules

What stays due

Adverse event reporting
Safety substantiation
Labeling, including the US contact
Eye-area, injected, internal-use and long-lasting products stay fully covered

State ingredient bans

State	Rule	In force	Source
California	24 intentionally added ingredients banned, including formaldehyde, mercury, some phthalates and parabens, 13 PFAS	January 1, 2025	5
California	All intentionally added PFAS; a second list of about 30 ingredients	2025; second list January 1, 2027	5
Washington	Comparable ban, lead limited to 1 ppm, applies to online sales into the state	January 1, 2025	6
Washington	25 formaldehyde releasers	January 1, 2027	6
Colorado, Maryland, Minnesota	PFAS in cosmetics banned	January 1, 2025	Morgan Lewis7
Maine	PFAS in cosmetics banned	January 1, 2026	Morgan Lewis7

FTC: trials and claims

Trials: in AuraVie, "risk-free" skincare trials led to charges "of up to $97.88 per month"8.
Testimonials: if results aren't typical, disclose "the generally expected performance"9.
Before-and-after photos are claims in their own right, and need the same evidence.

Legal is not the same as accepted by processors

A legal cosmetic can still be refused by a processor or a marketplace: Amazon, eBay, Etsy and TikTok Shop rules. Stripe prohibits products that "make harmful claims" and unclear trials10. Claims guide: cosmetic or drug claims. Rules after approval: skincare merchant account compliance.

Tagada follows Visa and Mastercard rules and the laws that apply to payments.

How Tagada helps

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One-page checkout where terms sit before the card field
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Updated on October 26, 2026

Nick Bonnassies

CMO at Tagada

CMO at Tagada. Before Tagada, Nick built direct-to-consumer brands that generated over $115M in sales, raised over $25M in crowdfunding and sold two of them. He also works as a fractional CMO on marketing operations and AI systems.

Frequently asked questions

Do I need FDA approval to sell skincare?

Not for cosmetics: they don't need FDA approval before sale. Products that are also drugs, such as sunscreens and acne treatments, follow drug rules. Most cosmetic brands must still register and list under MoCRA unless exempt.

Does MoCRA apply to small skincare brands?

Partly. Brands under $1,000,000 average annual sales are exempt from registration and listing, unless they sell eye-area, injected, internal-use or long-lasting products. Adverse event reporting and safety records still apply.

Can I sell homemade skincare online?

Yes, as cosmetics with cosmetic claims. Check the MoCRA exemption, put a US contact on the label, avoid banned ingredients in states you ship to, and keep safety evidence.

Do state cosmetic laws apply to online sales?

Yes, often. Washington's ban covers products "sold in or into Washington (online or in person)". California's bans apply to products sold in California.

Sources

Checked October 26, 2026

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