It refers to the place where you live, including your neighborhood, town, or city, and the people who live there.
Here are some examples:
* ¿Qué te gusta hacer en tu comunidad? (What do you like to do in your community?)
* Hay muchas actividades para niños en tu comunidad. (There are many activities for children in your community.)
* Es importante ser un buen vecino en tu comunidad. (It's important to be a good neighbor in your community.)