I think its a bit of a grey area, and will depend a lot on your location...

If you are on a farm, probably not. If you are in a residential neighborhood, maybe so, but there is basically zero enforcement. The issue would probably be tax evasion, but that isn't really checked for. Occasionally people's vehicles are checked for the red colored 'ag-diesel' that isn't taxed for road use, but your biodiesel won't be red, so it wouldn't raise any eyebrows.

If you are making small quantities for personal use and you are sure you can do it safely, then I'd say go for it. The laws are very vague right now when it comes to home fuel production, and any permitting process might end up being such a huge deal that it wouldn't be worth it.

I'll keep looking for specific legal info, but there isn't much out there.

peace,
sam