diff --git a/src/pages/workspace/tags/WorkspaceTagsPage.tsx b/src/pages/workspace/tags/WorkspaceTagsPage.tsx
index 74211f8f53a2..d046f413e780 100644
--- a/src/pages/workspace/tags/WorkspaceTagsPage.tsx
+++ b/src/pages/workspace/tags/WorkspaceTagsPage.tsx
@@ -52,9 +52,8 @@ function WorkspaceTagsPage({route}: WorkspaceTagsPageProps) {
     const [policyTags] = useOnyx(`${ONYXKEYS.COLLECTION.POLICY_TAGS}${policyID}`);
     const {environmentURL} = useEnvironment();
     const isConnectedToAccounting = Object.keys(policy?.connections ?? {}).length > 0;
-    const policyTagLists = useMemo(() => PolicyUtils.getTagLists(policyTags), [policyTags]);
-    const doesPolicyContainOnlyOneTagList = policyTagLists.length === 1;
-    const canSelectMultiple = doesPolicyContainOnlyOneTagList;
+    const [policyTagLists, isMultiLevelTags] = useMemo(() => [PolicyUtils.getTagLists(policyTags), PolicyUtils.isMultiLevelTags(policyTags)], [policyTags]);
+    const canSelectMultiple = !isMultiLevelTags;
 
     const fetchTags = useCallback(() => {
         Policy.openPolicyTagsPage(policyID);
@@ -72,7 +71,7 @@ function WorkspaceTagsPage({route}: WorkspaceTagsPageProps) {
     }, [isFocused]);
 
     const tagList = useMemo<TagListItem[]>(() => {
-        if (!doesPolicyContainOnlyOneTagList) {
+        if (isMultiLevelTags) {
             return policyTagLists.map((policyTagList) => ({
                 value: policyTagList.name,
                 orderWeight: policyTagList.orderWeight,
@@ -89,7 +88,7 @@ function WorkspaceTagsPage({route}: WorkspaceTagsPageProps) {
                 ),
             }));
         }
-        return Object.values(policyTagLists[0].tags)
+        return Object.values(policyTagLists[0]?.tags ?? {})
             .sort((tagA, tagB) => localeCompare(tagA.name, tagB.name))
             .map((tag) => ({
                 value: tag.name,
@@ -102,7 +101,7 @@ function WorkspaceTagsPage({route}: WorkspaceTagsPageProps) {
                 isDisabled: tag.pendingAction === CONST.RED_BRICK_ROAD_PENDING_ACTION.DELETE,
                 rightElement: <ListItemRightCaretWithLabel labelText={tag.enabled ? translate('workspace.common.enabled') : translate('workspace.common.disabled')} />,
             }));
-    }, [doesPolicyContainOnlyOneTagList, policyTagLists, selectedTags, translate]);
+    }, [isMultiLevelTags, policyTagLists, selectedTags, translate]);
 
     const tagListKeyedByName = useMemo(
         () =>
@@ -166,12 +165,11 @@ function WorkspaceTagsPage({route}: WorkspaceTagsPageProps) {
 
     const getHeaderButtons = () => {
         const isThereAnyAccountingConnection = Object.keys(policy?.connections ?? {}).length !== 0;
-        const isMultiLevelTags = PolicyUtils.isMultiLevelTags(policyTags);
 
         if (selectedTagsArray.length === 0) {
             return (
                 <View style={[styles.w100, styles.flexRow, isSmallScreenWidth && styles.mb3]}>
-                    {doesPolicyContainOnlyOneTagList && !isThereAnyAccountingConnection && (
+                    {!isThereAnyAccountingConnection && !isMultiLevelTags && (
                         <Button
                             medium
                             success
diff --git a/src/pages/workspace/tags/WorkspaceTagsSettingsPage.tsx b/src/pages/workspace/tags/WorkspaceTagsSettingsPage.tsx
index 7a32f3c8e0bb..13fb69458169 100644
--- a/src/pages/workspace/tags/WorkspaceTagsSettingsPage.tsx
+++ b/src/pages/workspace/tags/WorkspaceTagsSettingsPage.tsx
@@ -31,8 +31,7 @@ type WorkspaceTagsSettingsPageProps = WorkspaceTagsSettingsPageOnyxProps & Stack
 function WorkspaceTagsSettingsPage({route, policyTags}: WorkspaceTagsSettingsPageProps) {
     const styles = useThemeStyles();
     const {translate} = useLocalize();
-    const policyTagLists = useMemo(() => PolicyUtils.getTagLists(policyTags), [policyTags]);
-    const doesPolicyContainOnlyOneTagList = policyTagLists.length === 1;
+    const [policyTagLists, isMultiLevelTags] = useMemo(() => [PolicyUtils.getTagLists(policyTags), PolicyUtils.isMultiLevelTags(policyTags)], [policyTags]);
 
     const updateWorkspaceRequiresTag = useCallback(
         (value: boolean) => {
@@ -71,7 +70,7 @@ function WorkspaceTagsSettingsPage({route, policyTags}: WorkspaceTagsSettingsPag
                                 </View>
                             </View>
                         </OfflineWithFeedback>
-                        {doesPolicyContainOnlyOneTagList && (
+                        {!isMultiLevelTags && (
                             <OfflineWithFeedback
                                 errors={policyTags?.[policyTagLists[0].name]?.errors}
                                 pendingAction={policyTags?.[policyTagLists[0].name]?.pendingAction}