Since the launch of Apple Music, your iTunes library can contain several different types of music files, and they can be stored in different locations. You may have files that you've ripped from CDs, which are stored on your Mac. Your library probably holds some music that you bought from the iTunes Store, which may be on your Mac, or may be in the cloud. And if you've signed up for Apple Music, you might have added some music to your iTunes library. It may be local, or it may be on Apple's servers.
All this can be a bit confusing. While you don't always need to know which tracks or on your Mac or in the cloud, it can be useful. For example, if you decide to not opt for an Apple Music subscription after your three-month trial expires, you'll want to check and make sure that none of the music you've added from Apple Music to your iTunes library remains there. Or, if you need to make space on your drive, you might want to find which of your tracks are Apple music tracks or purchased tracks stored in the cloud, and delete the local copies.
You can find out where any tracks are stored using smart playlists. Here's how.
Apple Music tracks
To find which tracks in your iTunes library come from Apple Music, go to your Music library, and then click Playlists in the navigation bar. Choose File > New > Smart Playlist (or press Command-Option-N). Create a playlist with the following conditions:
Media Kind is Music
iCloud Status is Apple Music
(Click the + button after the first condition to add the second.)
Make sure that Live Updating is checked; this means that each time you view the contents of this smart playlist it will show you the latest tracks you've added to your Music library. Click OK to save the playlist.
You'll see, when you look at this playlist that it contains all of your Apple Music tracks, and that some of its tracks display cloud icons; this tells you that the tracks aren't on your Mac, but that you can download them if you wish.
If you only want to find which of your Apple Music tracks are on your drive, taking up space, you can alter the smart playlist by adding the following condition:
Location is on the this computer
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