I bought Minecraft as a gift but they can't redeem it because their region is wrong?

Gifting is region locked. If the person you sent it to does not live in the same region as you, they won't be able to redeem the code.

I bought it through the Xbox store and when he went to redeem the gift it said unable to use the code because it was bought in a different region. I'm in the US he's in Australia.

You can't because you gifted them and he redeemed them

Redeemed codes aren't refundable.

Only codes that aren't or can't be used

This includes gift xards and no they aren't transferable

The played rule only applies to games you bought and played

But since its a gift the redeemed rule applies

If you bought a gift card from another region, go to your setting and change the region of the xbox to the region you bought the gift card from, Redeem it, and then you can bo back to your previous region.

Has it already been redeemed if so then it can't be refunded

Code are one time use

And refund policy doesn't apply to redeemed gifts

What game is it and for what system

Also if he doesnt live in an xbox live region or not the same region as you

He can't redeem any codes regardless because of the region lock

You have to find an etailer in his region