Tax Region

In this document, you’ll learn about tax regions and how to use them with the Region Module.

What is a Tax Region?#

A tax region, represented by the TaxRegion data model, stores tax settings related to a region that your store serves.

Tax regions can inherit settings and rules from a parent tax region.

Tax Rules in a Tax Region#

Tax rules define the tax rates and behavior within a tax region. They specify:

• The tax rate percentage.
• Which products the tax applies to.
• Other custom rules to determine tax applicability.

Learn more about tax rules in the Tax Rates and Rules guide.

Tax Provider#

Each tax region can have a default tax provider. The tax provider is responsible for calculating the tax lines for carts and orders in that region.

You can use Medusa's default tax provider or create a custom one, allowing you to integrate with third-party tax services or implement your own tax calculation logic.

Learn more about tax providers in the Tax Provider guide.