In NY, home-based baking is allowed, but the sale of cakes is restricted. The permit "does not allow for home processors to make specialty items, such as birthday cakes, per order. Furthermore, it does not allow for direct sales of product from the home."
http://forrager.com/law/new-york/ It's kind of weird. Says you can sell at famer's markets, but not out of your home, what do they think a cottage is? (rolls eyes)
NY is a tricky state it seems! I don't think you're allowed to make custom cakes, chocolate, or perishable items. You also aren't allowed to sell from your home. The site craftybanana2 posted is a good place to look and read all the comments David posted, he knows his stuff, lol It would probably be best for you to contact your health depart or the city to find out for sure :) good luck!
The NYS Dept of Agriculture and Markets regulates home-based food businesses for the entire state, including NYC (where home processing is allowed). Call the Albany office with any questions. (518) 457-8835
David, from Forrager, has clearly done a lot of work. However, people in search of the laws and regulations for their area should always contact the regulating authority.
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