diff --git a/pagerduty/resource_pagerduty_tag_assignment.go b/pagerduty/resource_pagerduty_tag_assignment.go
index 3d8f805b6..6a822ed65 100644
--- a/pagerduty/resource_pagerduty_tag_assignment.go
+++ b/pagerduty/resource_pagerduty_tag_assignment.go
@@ -3,6 +3,7 @@ package pagerduty
 import (
 	"fmt"
 	"log"
+	"net/http"
 	"strings"
 	"time"
 
@@ -106,6 +107,15 @@ func resourcePagerDutyTagAssignmentRead(d *schema.ResourceData, meta interface{}
 
 	log.Printf("[INFO] Reading PagerDuty tag assignment with tagID %s for %s entity with ID %s", assignment.TagID, assignment.EntityType, assignment.EntityID)
 
+	ok, err := isFoundTagAssignmentEntity(d.Get("entity_id").(string), d.Get("entity_type").(string), meta)
+	if err != nil {
+		return err
+	}
+	if !ok {
+		d.SetId("")
+		return nil
+	}
+
 	return resource.Retry(30*time.Second, func() *resource.RetryError {
 		if tagResponse, _, err := client.Tags.ListTagsForEntity(assignment.EntityType, assignment.EntityID); err != nil {
 			time.Sleep(2 * time.Second)
@@ -202,6 +212,50 @@ func resourcePagerDutyTagAssignmentImport(d *schema.ResourceData, meta interface
 	return []*schema.ResourceData{d}, err
 }
 
+func isFoundTagAssignmentEntity(entityID, entityType string, meta interface{}) (bool, error) {
+	var isFound bool
+	client, err := meta.(*Config).Client()
+	if err != nil {
+		return isFound, err
+	}
+
+	fetchUser := func(id string) (*pagerduty.User, *pagerduty.Response, error) {
+		return client.Users.Get(id, &pagerduty.GetUserOptions{})
+	}
+	fetchTeam := func(id string) (*pagerduty.Team, *pagerduty.Response, error) {
+		return client.Teams.Get(id)
+	}
+	fetchEscalationPolicy := func(id string) (*pagerduty.EscalationPolicy, *pagerduty.Response, error) {
+		return client.EscalationPolicies.Get(id, &pagerduty.GetEscalationPolicyOptions{})
+	}
+	retryErr := resource.Retry(30*time.Second, func() *resource.RetryError {
+		var err error
+		if entityType == "users" {
+			_, _, err = fetchUser(entityID)
+		}
+		if entityType == "teams" {
+			_, _, err = fetchTeam(entityID)
+		}
+		if entityType == "escalation_policies" {
+			_, _, err = fetchEscalationPolicy(entityID)
+		}
+
+		if err != nil && isErrCode(err, http.StatusNotFound) {
+			return nil
+		}
+		if err != nil {
+			return resource.RetryableError(err)
+		}
+		isFound = true
+
+		return nil
+	})
+	if retryErr != nil {
+		return isFound, retryErr
+	}
+	return isFound, nil
+}
+
 func createAssignmentID(entityID, tagID string) string {
 	return fmt.Sprintf("%v.%v", entityID, tagID)
 }
diff --git a/pagerduty/resource_pagerduty_tag_assignment_test.go b/pagerduty/resource_pagerduty_tag_assignment_test.go
index e6a7cfc82..c97ff209a 100644
--- a/pagerduty/resource_pagerduty_tag_assignment_test.go
+++ b/pagerduty/resource_pagerduty_tag_assignment_test.go
@@ -8,6 +8,7 @@ import (
 	"github.com/hashicorp/terraform-plugin-sdk/v2/helper/acctest"
 	"github.com/hashicorp/terraform-plugin-sdk/v2/helper/resource"
 	"github.com/hashicorp/terraform-plugin-sdk/v2/terraform"
+	"github.com/heimweh/go-pagerduty/pagerduty"
 )
 
 func TestAccPagerDutyTagAssignment_User(t *testing.T) {
@@ -32,6 +33,24 @@ func TestAccPagerDutyTagAssignment_User(t *testing.T) {
 						"pagerduty_user.foo", "email", email),
 				),
 			},
+			// Validating that externally removed users with tag assigments are
+			// detected and tag assignment is planed for re-creation
+			{
+				Config: testAccCheckPagerDutyTagAssignmentConfig(tagLabel, username, email),
+				Check: resource.ComposeTestCheckFunc(
+					testAccExternallyDestroyTagAssignment("pagerduty_user.foo", "users"),
+				),
+				ExpectNonEmptyPlan: true,
+			},
+			{
+				Config: testAccCheckPagerDutyTagAssignmentConfig(tagLabel, username, email),
+				Check: resource.ComposeTestCheckFunc(
+					resource.TestCheckNoResourceAttr(
+						"pagerduty_tag_assignment.foo", "id"),
+				),
+				PlanOnly:           true,
+				ExpectNonEmptyPlan: true,
+			},
 		},
 	})
 }
@@ -54,6 +73,24 @@ func TestAccPagerDutyTagAssignment_Team(t *testing.T) {
 						"pagerduty_team.foo", "name", team),
 				),
 			},
+			// Validating that externally removed teams with tag assigments are
+			// detected and tag assignment is planed for re-creation
+			{
+				Config: testAccCheckPagerDutyTagAssignmentTeamConfig(tagLabel, team),
+				Check: resource.ComposeTestCheckFunc(
+					testAccExternallyDestroyTagAssignment("pagerduty_team.foo", "teams"),
+				),
+				ExpectNonEmptyPlan: true,
+			},
+			{
+				Config: testAccCheckPagerDutyTagAssignmentTeamConfig(tagLabel, team),
+				Check: resource.ComposeTestCheckFunc(
+					resource.TestCheckNoResourceAttr(
+						"pagerduty_tag_assignment.foo", "id"),
+				),
+				PlanOnly:           true,
+				ExpectNonEmptyPlan: true,
+			},
 		},
 	})
 }
@@ -71,13 +108,31 @@ func TestAccPagerDutyTagAssignment_EP(t *testing.T) {
 			{
 				Config: testAccCheckPagerDutyTagAssignmentEPConfig(tagLabel, username, email, ep),
 				Check: resource.ComposeTestCheckFunc(
-					testAccCheckPagerDutyTagAssignmentExists("pagerduty_tag_assignment.foo", "teams"),
+					testAccCheckPagerDutyTagAssignmentExists("pagerduty_tag_assignment.foo", "escalation_policies"),
 					resource.TestCheckResourceAttr(
 						"pagerduty_tag.foo", "label", tagLabel),
 					resource.TestCheckResourceAttr(
 						"pagerduty_escalation_policy.foo", "name", ep),
 				),
 			},
+			// Validating that externally removed escalation policies with tag
+			// assigments are detected and tag assignment is planed for re-creation
+			{
+				Config: testAccCheckPagerDutyTagAssignmentEPConfig(tagLabel, username, email, ep),
+				Check: resource.ComposeTestCheckFunc(
+					testAccExternallyDestroyTagAssignment("pagerduty_escalation_policy.foo", "escalation_policies"),
+				),
+				ExpectNonEmptyPlan: true,
+			},
+			{
+				Config: testAccCheckPagerDutyTagAssignmentEPConfig(tagLabel, username, email, ep),
+				Check: resource.ComposeTestCheckFunc(
+					resource.TestCheckNoResourceAttr(
+						"pagerduty_tag_assignment.foo", "id"),
+				),
+				PlanOnly:           true,
+				ExpectNonEmptyPlan: true,
+			},
 		},
 	})
 }
@@ -200,9 +255,47 @@ resource "pagerduty_escalation_policy" "foo" {
 	}
   }
 resource "pagerduty_tag_assignment" "foo" {
-	entity_type = "teams"
+	entity_type = "escalation_policies"
 	entity_id = pagerduty_escalation_policy.foo.id
 	tag_id = pagerduty_tag.foo.id
 }
 `, tagLabel, username, email, ep)
 }
+
+func testAccExternallyDestroyTagAssignment(n, entityType string) resource.TestCheckFunc {
+	deleteUser := func(id string, client *pagerduty.Client) (*pagerduty.Response, error) {
+		return client.Users.Delete(id)
+	}
+	deleteTeam := func(id string, client *pagerduty.Client) (*pagerduty.Response, error) {
+		return client.Teams.Delete(id)
+	}
+	deleteEscalationPolicy := func(id string, client *pagerduty.Client) (*pagerduty.Response, error) {
+		return client.EscalationPolicies.Delete(id)
+	}
+	return func(s *terraform.State) error {
+		rs, ok := s.RootModule().Resources[n]
+		if !ok {
+			return fmt.Errorf("Not found: %s", n)
+		}
+		if rs.Primary.ID == "" {
+			return fmt.Errorf("No Tag Assignment ID is set")
+		}
+
+		client, _ := testAccProvider.Meta().(*Config).Client()
+		var err error
+		if entityType == "users" {
+			_, err = deleteUser(rs.Primary.ID, client)
+		}
+		if entityType == "teams" {
+			_, err = deleteTeam(rs.Primary.ID, client)
+		}
+		if entityType == "escalation_policies" {
+			_, err = deleteEscalationPolicy(rs.Primary.ID, client)
+		}
+		if err != nil {
+			return err
+		}
+
+		return nil
+	}
+}
diff --git a/pagerduty/resource_pagerduty_team.go b/pagerduty/resource_pagerduty_team.go
index 7c5f71d19..28395e5b7 100644
--- a/pagerduty/resource_pagerduty_team.go
+++ b/pagerduty/resource_pagerduty_team.go
@@ -94,8 +94,11 @@ func resourcePagerDutyTeamRead(d *schema.ResourceData, meta interface{}) error {
 
 	return resource.Retry(30*time.Second, func() *resource.RetryError {
 		if team, _, err := client.Teams.Get(d.Id()); err != nil {
-			time.Sleep(2 * time.Second)
-			return resource.RetryableError(err)
+			errResp := handleNotFoundError(err, d)
+			if errResp != nil {
+				time.Sleep(2 * time.Second)
+				return resource.RetryableError(errResp)
+			}
 		} else if team != nil {
 			d.Set("name", team.Name)
 			d.Set("description", team.Description)
diff --git a/pagerduty/resource_pagerduty_team_test.go b/pagerduty/resource_pagerduty_team_test.go
index 9de51be9b..7e513e91f 100644
--- a/pagerduty/resource_pagerduty_team_test.go
+++ b/pagerduty/resource_pagerduty_team_test.go
@@ -83,6 +83,24 @@ func TestAccPagerDutyTeam_Basic(t *testing.T) {
 						"pagerduty_team.foo", "description", "bar"),
 				),
 			},
+			// Validating that externally removed teams are detected and planed for
+			// re-creation
+			{
+				Config: testAccCheckPagerDutyTeamConfigUpdated(teamUpdated),
+				Check: resource.ComposeTestCheckFunc(
+					testAccExternallyDestroyTeam("pagerduty_team.foo"),
+				),
+				ExpectNonEmptyPlan: true,
+			},
+			{
+				Config: testAccCheckPagerDutyTeamConfigUpdated(teamUpdated),
+				Check: resource.ComposeTestCheckFunc(
+					resource.TestCheckNoResourceAttr(
+						"pagerduty_team.foo", "id"),
+				),
+				PlanOnly:           true,
+				ExpectNonEmptyPlan: true,
+			},
 		},
 	})
 }
@@ -173,3 +191,23 @@ resource "pagerduty_team" "foo" {
 	parent = pagerduty_team.parent.id
 }`, parent, team)
 }
+
+func testAccExternallyDestroyTeam(n string) resource.TestCheckFunc {
+	return func(s *terraform.State) error {
+		rs, ok := s.RootModule().Resources[n]
+		if !ok {
+			return fmt.Errorf("Not found: %s", n)
+		}
+		if rs.Primary.ID == "" {
+			return fmt.Errorf("No Team ID is set")
+		}
+
+		client, _ := testAccProvider.Meta().(*Config).Client()
+		_, err := client.Teams.Delete(rs.Primary.ID)
+		if err != nil {
+			return err
+		}
+
+		return nil
+	}
+}