The transforming growth factor β (TGFβ) superfamily encompasses a number of structurally related proteins that can be divided into several subfamilies including TGFβs, activins/inhibins and bone morphogenetic proteins (BMPs). The Smads are major intracellular mediators in transducing the signals of TGFβ superfamily members, and are abundantly expressed in the developing epidermis and epidermal appendages. Moreover, the phenotypes of transgenic/knockout mice with altered components of the TGFβ superfamily signaling pathway suggest that TGFβ superfamily signaling is required for epidermal/appendage development. TGFβ superfamily members are involved in most events during epidermal/appendage development through the TGFβ signal transduction pathway and through cross talk with other signaling pathways. Future studies will be instrumental in defining the precise roles for TGFβ superfamily signaling in epidermal/appendage development.