diff --git a/sonic_package_manager/database.py b/sonic_package_manager/database.py
index 6c1cec5c07..11f7b305d6 100644
--- a/sonic_package_manager/database.py
+++ b/sonic_package_manager/database.py
@@ -31,6 +31,7 @@ class PackageEntry:
         built_in: Boolean flag whether the package is built in.
         image_id: Image ID for this package or None if package
                   is not installed.
+        tag: Tag for this package or None if package is not installed.
     """
 
     name: str
@@ -41,6 +42,7 @@ class PackageEntry:
     installed: bool = False
     built_in: bool = False
     image_id: Optional[str] = None
+    tag: Optional[str] = None
 
 
 def package_from_dict(name: str, package_info: Dict) -> PackageEntry:
@@ -55,10 +57,10 @@ def package_from_dict(name: str, package_info: Dict) -> PackageEntry:
     installed = package_info.get('installed', False)
     built_in = package_info.get('built-in', False)
     image_id = package_info.get('image-id')
-
+    tag = package_info.get('tag')
     return PackageEntry(name, repository, description,
                         default_reference, version, installed,
-                        built_in, image_id)
+                        built_in, image_id, tag)
 
 
 def package_to_dict(package: PackageEntry) -> Dict:
@@ -72,6 +74,7 @@ def package_to_dict(package: PackageEntry) -> Dict:
         'installed': package.installed,
         'built-in': package.built_in,
         'image-id': package.image_id,
+        'tag': package.tag,
     }
 
 
diff --git a/sonic_package_manager/service_creator/creator.py b/sonic_package_manager/service_creator/creator.py
index cb7f55a2dc..815055c224 100644
--- a/sonic_package_manager/service_creator/creator.py
+++ b/sonic_package_manager/service_creator/creator.py
@@ -283,6 +283,7 @@ def generate_container_mgmt(self, package: Package):
             'docker_container_name': name,
             'docker_image_id': image_id,
             'docker_image_name': package.entry.repository,
+            'docker_image_tag': package.entry.tag,
             'docker_image_run_opt': run_opt,
             'sonic_asic_platform': sonic_asic_platform
         }
diff --git a/sonic_package_manager/source.py b/sonic_package_manager/source.py
index 2a0f07b0f1..37c6cb3928 100644
--- a/sonic_package_manager/source.py
+++ b/sonic_package_manager/source.py
@@ -51,6 +51,11 @@ def install(self, package: Package):
 
         image = self.install_image(package)
         package.entry.image_id = image.id
+        if image.tags:
+            package.entry.tag = image.tags[0]
+        else:
+            package.entry.tag = image.id
+
         # if no repository is defined for this package
         # get repository from image
         if not package.repository:
diff --git a/tests/sonic_package_manager/conftest.py b/tests/sonic_package_manager/conftest.py
index 3d6beae9ff..e8c616d3f0 100644
--- a/tests/sonic_package_manager/conftest.py
+++ b/tests/sonic_package_manager/conftest.py
@@ -26,16 +26,17 @@ def mock_docker_api():
     @dataclass
     class Image:
         id: str
+        tags: list[str]
 
         @property
         def attrs(self):
             return {'RepoTags': [self.id]}
 
     def pull(repo, ref):
-        return Image(f'{repo}:{ref}')
+        return Image(f'{repo}:{ref}', [ref])
 
     def load(filename):
-        return Image(filename)
+        return Image(filename, ["latest"])
 
     docker.pull = MagicMock(side_effect=pull)
     docker.load = MagicMock(side_effect=load)
diff --git a/tests/sonic_package_manager/test_database.py b/tests/sonic_package_manager/test_database.py
index 3ae8ec5ad0..2b8380835d 100644
--- a/tests/sonic_package_manager/test_database.py
+++ b/tests/sonic_package_manager/test_database.py
@@ -2,7 +2,7 @@
 
 import pytest
 
-from sonic_package_manager.database import PackageEntry
+from sonic_package_manager.database import PackageEntry, package_from_dict
 from sonic_package_manager.errors import (
     PackageNotFoundError,
     PackageAlreadyExistsError,
@@ -87,3 +87,48 @@ def test_database_remove_package_built_in(fake_db):
                        match='Package swss is built-in, '
                              'cannot remove it'):
         fake_db.remove_package('swss')
+
+
+def test_package_from_dict():
+    """Test converting dictionary to PackageEntry object."""
+    package_info = {
+        'repository': 'test-repo',
+        'description': 'Test package description',
+        'default-reference': '1.0.0',
+        'installed-version': '1.0.0',
+        'installed': True,
+        'built-in': False,
+        'image-id': 'abc123',
+        'tag': 'latest'
+    }
+
+    package = package_from_dict('test-package', package_info)
+
+    assert package.name == 'test-package'
+    assert package.repository == 'test-repo'
+    assert package.description == 'Test package description'
+    assert package.default_reference == '1.0.0'
+    assert package.version == Version.parse('1.0.0')
+    assert package.installed is True
+    assert package.built_in is False
+    assert package.image_id == 'abc123'
+    assert package.tag == 'latest'
+
+
+def test_package_from_dict_minimal():
+    """Test converting minimal dictionary to PackageEntry object."""
+    package_info = {
+        'repository': 'test-repo'
+    }
+
+    package = package_from_dict('test-package', package_info)
+
+    assert package.name == 'test-package'
+    assert package.repository == 'test-repo'
+    assert package.description is None
+    assert package.default_reference is None
+    assert package.version is None
+    assert package.installed is False
+    assert package.built_in is False
+    assert package.image_id is None
+    assert package.tag is None
diff --git a/tests/sonic_package_manager/test_manager.py b/tests/sonic_package_manager/test_manager.py
index 26e838ce6d..5c236dc869 100644
--- a/tests/sonic_package_manager/test_manager.py
+++ b/tests/sonic_package_manager/test_manager.py
@@ -2,7 +2,7 @@
 
 import re
 import unittest
-from unittest.mock import Mock, call, patch, mock_open
+from unittest.mock import Mock, call, patch, mock_open, MagicMock
 import pytest
 
 import sonic_package_manager
@@ -600,3 +600,30 @@ def test_download_file_sftp(package_manager):
         username="admin",
         password="test_password"
     )
+
+
+def test_installation_from_file_no_tags(package_manager, mock_docker_api, sonic_fs):
+    # Override the load function to return an image without tags
+    def load_no_tags(filename):
+        class Image:
+            def __init__(self, id):
+                self.id = id
+                self.tags = []
+
+            @property
+            def attrs(self):
+                return {'RepoTags': []}
+
+        return Image(filename)
+
+    mock_docker_api.load = MagicMock(side_effect=load_no_tags)
+
+    sonic_fs.create_file('Azure/docker-test:1.6.0')
+    package_manager.install(tarball='Azure/docker-test:1.6.0')
+
+    # Verify the image was loaded
+    mock_docker_api.load.assert_called_once_with('Azure/docker-test:1.6.0')
+
+    # Get the package from the database and verify the tag was set to the image ID
+    package = package_manager.database.get_package('test-package')
+    assert package.tag == 'Azure/docker-test:1.6.0'