diff --git a/erpnext/setup/setup_wizard/operations/taxes_setup.py b/erpnext/setup/setup_wizard/operations/taxes_setup.py
index 2e5e2c0c092..d3b7e2a03fd 100644
--- a/erpnext/setup/setup_wizard/operations/taxes_setup.py
+++ b/erpnext/setup/setup_wizard/operations/taxes_setup.py
@@ -120,6 +120,7 @@ def from_detailed_data(company_name, data):
 def update_regional_tax_settings(country, company):
 	path = frappe.get_app_path("erpnext", "regional", frappe.scrub(country))
 	if os.path.exists(path.encode("utf-8")):
+		frappe.db.savepoint("regional_tax_settings")
 		try:
 			module_name = f"erpnext.regional.{frappe.scrub(country)}.setup.update_regional_tax_settings"
 			frappe.get_attr(module_name)(country, company)
@@ -127,7 +128,7 @@ def update_regional_tax_settings(country, company):
 			pass
 		except Exception:
 			# Log error and ignore if failed to setup regional tax settings
-			frappe.db.rollback()
+			frappe.db.rollback(save_point="regional_tax_settings")
 			frappe.log_error("Unable to setup regional tax settings")