For general lib code, it is placed directly within the testlib folder For fixtures see "Writing Fixtures"

Ideally everything should be tested. This includes internal code. Create a test_YOUR_LIB_FILE_NAME.py file in the same folder as your library code and refer to "Writing Custom Tests"

Fixtures reside in the testlib/fixtures folder. For a fixture to be automatically detected and loaded by pytest, its module path must be added to the pytest_plugins attribute of the conftest.py file, similar to the other fixtures present. For an exhaustive Documentation of Fixtures check out the pytest documentation The short version: