diff --git a/Tests/KeystoneTests/Tests/Features/Posts/TagSelectionTests.swift b/Tests/KeystoneTests/Tests/Features/Posts/TagSelectionTests.swift
index a9458f9db47a..9e7ad951aa36 100644
--- a/Tests/KeystoneTests/Tests/Features/Posts/TagSelectionTests.swift
+++ b/Tests/KeystoneTests/Tests/Features/Posts/TagSelectionTests.swift
@@ -114,17 +114,30 @@ struct TagSelectionTests {
     // MARK: - Selection callback
 
     @Test
-    func selectionCallbackFiltersOutPendingItems() async {
+    func selectionCallbackEmitsPendingItemsImmediately() async {
+        // Regression coverage for the missing-tags bug: if the user publishes before the
+        // async search/create completes, the parent's tag list must still contain the
+        // typed name. The callback must therefore fire synchronously on `addNewTag` with
+        // the pending (`id == 0`) term so the parent never observes an empty selection.
         let mock = MockService(tags: ["Foo", "Bar"])
         var callbackTags: [TagsViewModel.SelectedTerm] = []
-        let viewModel = TagsViewModel(taxonomy: nil, service: mock, mode: .selection(onSelectedTagsChanged: { tags in
-            callbackTags = tags
-        }))
+        let viewModel = TagsViewModel(
+            taxonomy: nil,
+            service: mock,
+            mode: .selection(onSelectedTagsChanged: { tags in
+                callbackTags = tags
+            })
+        )
+
+        // Do not await — we want to observe the state before the create task can run.
+        let task = viewModel.addNewTag(named: "Baz")
 
-        _ = viewModel.addNewTag(named: "Baz")
+        #expect(callbackTags.count == 1)
+        #expect(callbackTags[0].name == "Baz")
+        #expect(callbackTags[0].id == 0)
+        #expect(callbackTags[0].isPending)
 
-        // The pending item (id == 0) should be filtered out of the callback
-        #expect(callbackTags.isEmpty)
+        await task?.value
     }
 
     @Test
@@ -132,9 +145,13 @@ struct TagSelectionTests {
         let mock = MockService(tags: ["Foo", "Bar"])
         let tags = await mock.tags
         var callbackTags: [TagsViewModel.SelectedTerm] = []
-        let viewModel = TagsViewModel(taxonomy: nil, service: mock, mode: .selection(onSelectedTagsChanged: { tags in
-            callbackTags = tags
-        }))
+        let viewModel = TagsViewModel(
+            taxonomy: nil,
+            service: mock,
+            mode: .selection(onSelectedTagsChanged: { tags in
+                callbackTags = tags
+            })
+        )
 
         viewModel.toggleSelection(for: tags[0])
 
@@ -217,7 +234,11 @@ private actor MockService: TaxonomyServiceProtocol {
 
         let lowercasedName = name.lowercased()
         if tags.contains(where: { $0.name.lowercased() == lowercasedName }) {
-            let error = NSError(domain: "MockService", code: -1, userInfo: [NSLocalizedDescriptionKey: "Tag already exists"])
+            let error = NSError(
+                domain: "MockService",
+                code: -1,
+                userInfo: [NSLocalizedDescriptionKey: "Tag already exists"]
+            )
             throw error
         }
 
@@ -235,7 +256,11 @@ private actor MockService: TaxonomyServiceProtocol {
         return newTag
     }
 
-    func updateTag(_ term: AnyTermWithViewContext, name: String, description: String) async throws -> AnyTermWithViewContext {
+    func updateTag(
+        _ term: AnyTermWithViewContext,
+        name: String,
+        description: String
+    ) async throws -> AnyTermWithViewContext {
         guard let index = tags.firstIndex(where: { $0.id == term.id }) else {
             let error = NSError(domain: "MockService", code: -2, userInfo: [NSLocalizedDescriptionKey: "Tag not found"])
             throw error
diff --git a/WordPress/Classes/ViewRelated/Tags/TagsViewModel.swift b/WordPress/Classes/ViewRelated/Tags/TagsViewModel.swift
index 7d6303e2b684..4e2366e2c160 100644
--- a/WordPress/Classes/ViewRelated/Tags/TagsViewModel.swift
+++ b/WordPress/Classes/ViewRelated/Tags/TagsViewModel.swift
@@ -30,7 +30,12 @@ class TagsViewModel: ObservableObject {
     @Published private(set) var selectedTags: [SelectedTerm] {
         didSet {
             if case .selection(let onSelectedTagsChanged) = mode {
-                onSelectedTagsChanged?(selectedTags.filter { !$0.isPending })
+                // Emit the full selection, including pending (`id == 0`) terms.
+                // Filtering them here would silently drop user-typed tag names from the parent's
+                // selection state if publish/save runs before the async search/create completes.
+                // Consumers that require resolved IDs (e.g. custom-post REST flows) resolve them
+                // at save time via `TermResolutionService.resolveIDs(for:)`.
+                onSelectedTagsChanged?(selectedTags)
             }
         }
     }
@@ -56,11 +61,27 @@ class TagsViewModel: ObservableObject {
         self.init(taxonomy: nil, service: TagsService(blog: blog), selectedTerms: selectedTags, mode: mode)
     }
 
-    convenience init(blog: Blog, client: WordPressClient, taxonomy: SiteTaxonomy, selectedTerms: [SelectedTerm] = [], mode: TagsViewMode) {
-        self.init(taxonomy: taxonomy, service: AnyTermService(client: client, endpoint: taxonomy.endpoint), selectedTerms: selectedTerms, mode: mode)
+    convenience init(
+        blog: Blog,
+        client: WordPressClient,
+        taxonomy: SiteTaxonomy,
+        selectedTerms: [SelectedTerm] = [],
+        mode: TagsViewMode
+    ) {
+        self.init(
+            taxonomy: taxonomy,
+            service: AnyTermService(client: client, endpoint: taxonomy.endpoint),
+            selectedTerms: selectedTerms,
+            mode: mode
+        )
     }
 
-    init(taxonomy: SiteTaxonomy?, service: TaxonomyServiceProtocol, selectedTerms: [SelectedTerm] = [], mode: TagsViewMode) {
+    init(
+        taxonomy: SiteTaxonomy?,
+        service: TaxonomyServiceProtocol,
+        selectedTerms: [SelectedTerm] = [],
+        mode: TagsViewMode
+    ) {
         self.taxonomy = taxonomy
         self.tagsService = service
         self.mode = mode
@@ -85,7 +106,7 @@ class TagsViewModel: ObservableObject {
 
     private func loadInitialTags() async {
         isLoading = true
-        defer { isLoading = false}
+        defer { isLoading = false }
 
         error = nil
 
@@ -135,7 +156,7 @@ class TagsViewModel: ObservableObject {
         let remoteTags = try await tagsService.searchTags(with: searchText)
 
         return try await TagsPaginatedResponse { _ in
-            return TagsPaginatedResponse.Page(
+            TagsPaginatedResponse.Page(
                 items: remoteTags,
                 total: remoteTags.count,
                 hasMore: false,
@@ -171,7 +192,8 @@ class TagsViewModel: ObservableObject {
             do {
                 let newTag: AnyTermWithViewContext
                 if let existing = try await tagsService.searchTags(with: name)
-                    .first(where: { $0.name.compare(name, options: .caseInsensitive) == .orderedSame }) {
+                    .first(where: { $0.name.compare(name, options: .caseInsensitive) == .orderedSame })
+                {
                     newTag = existing
                 } else {
                     newTag = try await tagsService.createTag(name: name, description: "")
@@ -190,7 +212,7 @@ class TagsViewModel: ObservableObject {
     }
 
     func isSelected(_ term: AnyTermWithViewContext) -> Bool {
-        return selectedTagsSet.contains(term.name.lowercased())
+        selectedTagsSet.contains(term.name.lowercased())
     }
 
     func isNotSelected(_ term: AnyTermWithViewContext) -> Bool {