diff --git a/openmetadata-ui/src/main/resources/ui/src/components/common/AsyncSelectList/TreeAsyncSelectList.test.tsx b/openmetadata-ui/src/main/resources/ui/src/components/common/AsyncSelectList/TreeAsyncSelectList.test.tsx
index 4656e43692a8..dccf1109b8df 100644
--- a/openmetadata-ui/src/main/resources/ui/src/components/common/AsyncSelectList/TreeAsyncSelectList.test.tsx
+++ b/openmetadata-ui/src/main/resources/ui/src/components/common/AsyncSelectList/TreeAsyncSelectList.test.tsx
@@ -10,8 +10,10 @@
  *  See the License for the specific language governing permissions and
  *  limitations under the License.
  */
-import { render, screen } from '@testing-library/react';
+import { act, fireEvent, render, screen } from '@testing-library/react';
 import { TagSource } from '../../../generated/type/tagLabel';
+import { searchGlossaryTerms } from '../../../rest/glossaryAPI';
+import { convertGlossaryTermsToTreeOptions } from '../../../utils/GlossaryUtils';
 import { SelectOption } from './AsyncSelectList.interface';
 import TreeAsyncSelectList from './TreeAsyncSelectList';
 
@@ -56,4 +58,46 @@ describe('TreeAsyncSelectList', () => {
   it('should render the component', () => {
     expect(screen.getByTestId('tag-selector')).toBeInTheDocument();
   });
+
+  it('should expand every level of the search results', async () => {
+    jest.useFakeTimers();
+    (convertGlossaryTermsToTreeOptions as jest.Mock).mockImplementation(
+      jest.requireActual('../../../utils/GlossaryUtils')
+        .convertGlossaryTermsToTreeOptions
+    );
+    (searchGlossaryTerms as jest.Mock).mockResolvedValue([
+      {
+        id: 'g',
+        name: 'Business',
+        fullyQualifiedName: 'Business',
+        children: [
+          {
+            id: 'c',
+            name: 'Customer',
+            fullyQualifiedName: 'Business.Customer',
+            children: [
+              {
+                id: 't',
+                name: 'Churn',
+                fullyQualifiedName: 'Business.Customer.Churn',
+              },
+            ],
+          },
+        ],
+      },
+    ]);
+
+    fireEvent.change(screen.getByRole('combobox'), {
+      target: { value: 'Churn' },
+    });
+    await act(async () => {
+      jest.advanceTimersByTime(300);
+    });
+
+    expect(
+      await screen.findByTestId('tag-Business.Customer.Churn')
+    ).toBeInTheDocument();
+
+    jest.useRealTimers();
+  });
 });
diff --git a/openmetadata-ui/src/main/resources/ui/src/components/common/AsyncSelectList/TreeAsyncSelectList.tsx b/openmetadata-ui/src/main/resources/ui/src/components/common/AsyncSelectList/TreeAsyncSelectList.tsx
index d6a15877c888..3df7afc20daa 100644
--- a/openmetadata-ui/src/main/resources/ui/src/components/common/AsyncSelectList/TreeAsyncSelectList.tsx
+++ b/openmetadata-ui/src/main/resources/ui/src/components/common/AsyncSelectList/TreeAsyncSelectList.tsx
@@ -52,6 +52,7 @@ import {
 import { getEntityName } from '../../../utils/EntityNameUtils';
 import {
   filterTreeNodeOptions,
+  findExpandableKeysForArray,
   findItemByFqn,
 } from '../../../utils/GlossaryPureUtils';
 import { convertGlossaryTermsToTreeOptions } from '../../../utils/GlossaryUtils';
@@ -433,9 +434,14 @@ const TreeAsyncSelectList: FC<TreeAsyncSelectListProps> = ({
       const encodedValue = getEncodedFqn(escapeESReservedCharacters(value));
       const results: Glossary[] = await searchGlossaryTerms(encodedValue);
 
-      setSearchOptions(filterTreeNodeOptions(results, filterOptions));
+      const filteredResults = filterTreeNodeOptions(results, filterOptions);
+
+      setSearchOptions(filteredResults);
+      // Expand every level so matches nested under parent terms are visible
       setExpandedRowKeys(
-        results.map((result) => result.fullyQualifiedName as string)
+        findExpandableKeysForArray(
+          filteredResults as unknown as ModifiedGlossaryTerm[]
+        )
       );
       setIsLoading(false);
     } else {