The automated tax rate calculations on the site rely on WordPress.com.
WordPress.com is a commercial service operated by Automattic that is separate from your WordPress site hosting. Connecting your site to this shares some information about your site with them.
- Go to WooCommerce -> Settings then click Connect in the “Connect your site to activate WooCommerce Shipping & Tax” box.
- You’ll be prompted to sign in, you may need to create an account at WordPress.com.
- No payment method or additional purchase is required to finish the activation, and you should be able to return to the site to finish the connection.