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Hello.
If you set this, all resources that do not have tags set will become Deny, so some services will become inoperable.
For example, you may encounter problems such as not being able to select an AMI even if you want to start EC2.
Therefore, I think it is necessary to set the required action in "Action" and which resource to target in the "Resource" section.
https://docs.aws.amazon.com/organizations/latest/userguide/orgs_manage_policies_scps_examples_tagging.html
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But that would only apply to resources which can be tagged, right? And may be inoperable until they are tagged with Project, right?
Yes, services that allow tagging may become unavailable.