diff --git a/app/models/spree/tax_rate.rb b/app/models/spree/tax_rate.rb
index 064baf8852..50abeeb021 100644
--- a/app/models/spree/tax_rate.rb
+++ b/app/models/spree/tax_rate.rb
@@ -61,7 +61,7 @@ module Spree
     def adjust(order)
       label = create_label
       if included_in_price
-        if Zone.default_tax.contains? order.tax_zone
+        if default_zone_or_zone_match? order
           order.line_items.each { |line_item| create_adjustment(label, line_item, line_item) }
         else
           amount = -1 * calculator.compute(order)
@@ -89,6 +89,10 @@ module Spree
       end
     end
 
+    def default_zone_or_zone_match?(order)
+      Zone.default_tax.contains?(order.tax_zone) || order.tax_zone == zone
+    end
+
     # Manually apply a TaxRate to a particular amount. TaxRates normally compute against
     # LineItems or Orders, so we mock out a line item here to fit the interface
     # that our calculator (usually DefaultTax) expects.
@@ -114,6 +118,8 @@ module Spree
       label = ""
       label << (name.presence || tax_category.name) + " "
       label << (show_rate_in_label? ? "#{amount * 100}%" : "")
+      label << " (#{I18n.t('models.tax_rate.included_in_price')})" if included_in_price?
+      label
     end
 
     def with_tax_included_in_price
diff --git a/config/locales/en.yml b/config/locales/en.yml
index 0354b9c4d2..2dff764d14 100644
--- a/config/locales/en.yml
+++ b/config/locales/en.yml
@@ -140,6 +140,8 @@ en:
   models:
     order_cycle:
       cloned_order_cycle_name: "COPY OF %{order_cycle}"
+    tax_rate:
+      included_in_price: "Included in price"
 
   validators:
     date_time_string_validator:
diff --git a/lib/spree/core/calculated_adjustments.rb b/lib/spree/core/calculated_adjustments.rb
index 6388369209..301d821642 100644
--- a/lib/spree/core/calculated_adjustments.rb
+++ b/lib/spree/core/calculated_adjustments.rb
@@ -43,7 +43,8 @@ module Spree
               order: order_object_for(target),
               label: label,
               mandatory: mandatory,
-              state: state
+              state: state,
+              included: tax_included?(self, target)
             )
           end
 
@@ -78,6 +79,15 @@ module Spree
 
           private
 
+          # Used for setting the #included boolean on tax adjustments. This will be removed in a
+          # later step, as the responsibility for creating all adjustments related to tax will be
+          # moved into the Spree::TaxRate class.
+          def tax_included?(originator, target)
+            originator.is_a?(Spree::TaxRate) &&
+              originator.included_in_price &&
+              originator.default_zone_or_zone_match?(order_object_for(target))
+          end
+
           def order_object_for(target)
             # Temporary method for adjustments transition.
             if target.is_a? Spree::Order