diff --git a/tests/integration/merge/reset_and_override_tags/override_tag_service/__init__.py b/tests/integration/merge/reset_and_override_tags/override_tag_service/__init__.py
new file mode 100644
index 0000000..8b13789
--- /dev/null
+++ b/tests/integration/merge/reset_and_override_tags/override_tag_service/__init__.py
@@ -0,0 +1 @@
+
diff --git a/tests/integration/merge/reset_and_override_tags/override_tag_service/docker-compose.override_service.yaml b/tests/integration/merge/reset_and_override_tags/override_tag_service/docker-compose.override_service.yaml
new file mode 100644
index 0000000..630ec29
--- /dev/null
+++ b/tests/integration/merge/reset_and_override_tags/override_tag_service/docker-compose.override_service.yaml
@@ -0,0 +1,7 @@
+version: "3"
+services:
+    app: !override
+        image: busybox
+        command: ["/bin/busybox", "echo", "One"]
+        ports:
+            - "8111:81"
diff --git a/tests/integration/merge/reset_and_override_tags/override_tag_service/docker-compose.yaml b/tests/integration/merge/reset_and_override_tags/override_tag_service/docker-compose.yaml
new file mode 100644
index 0000000..74eaad0
--- /dev/null
+++ b/tests/integration/merge/reset_and_override_tags/override_tag_service/docker-compose.yaml
@@ -0,0 +1,7 @@
+version: "3"
+services:
+    app:
+        image: busybox
+        command: ["/bin/busybox", "echo", "Zero"]
+        ports:
+            - "8080:80"
diff --git a/tests/integration/merge/reset_and_override_tags/override_tag_service/test_podman_compose_override_tag_service.py b/tests/integration/merge/reset_and_override_tags/override_tag_service/test_podman_compose_override_tag_service.py
new file mode 100644
index 0000000..e39687c
--- /dev/null
+++ b/tests/integration/merge/reset_and_override_tags/override_tag_service/test_podman_compose_override_tag_service.py
@@ -0,0 +1,61 @@
+# SPDX-License-Identifier: GPL-2.0
+
+import json
+import os
+import unittest
+
+from tests.integration.test_utils import RunSubprocessMixin
+from tests.integration.test_utils import podman_compose_path
+from tests.integration.test_utils import test_path
+
+
+def compose_yaml_path():
+    return os.path.join(os.path.join(test_path(), "override_tag_service"), "docker-compose.yaml")
+
+
+class TestComposeOverrideTagService(unittest.TestCase, RunSubprocessMixin):
+    # test if whole service from docker-compose.yaml file is overridden in another file
+    def test_override_tag_service(self):
+        override_file = os.path.join(
+            os.path.join(test_path(), "override_tag_service"),
+            "docker-compose.override_service.yaml",
+        )
+        try:
+            self.run_subprocess_assert_returncode([
+                podman_compose_path(),
+                "-f",
+                compose_yaml_path(),
+                "-f",
+                override_file,
+                "up",
+            ])
+
+            # Whole app service was overridden in the docker-compose.override_tag_service.yaml file.
+            # Command and port is overridden accordingly.
+            output, _ = self.run_subprocess_assert_returncode([
+                podman_compose_path(),
+                "-f",
+                compose_yaml_path(),
+                "-f",
+                override_file,
+                "logs",
+            ])
+            self.assertEqual(output, b"One\n")
+
+            output, _ = self.run_subprocess_assert_returncode([
+                "podman",
+                "inspect",
+                "override_tag_service_app_1",
+            ])
+            container_info = json.loads(output.decode('utf-8'))[0]
+            self.assertEqual(
+                container_info['NetworkSettings']["Ports"],
+                {"81/tcp": [{"HostIp": "", "HostPort": "8111"}]},
+            )
+        finally:
+            self.run_subprocess_assert_returncode([
+                podman_compose_path(),
+                "-f",
+                compose_yaml_path(),
+                "down",
+            ])