diff --git a/src/wallet/rpc/backup.cpp b/src/wallet/rpc/backup.cpp
index ac23b092d40..40400369629 100644
--- a/src/wallet/rpc/backup.cpp
+++ b/src/wallet/rpc/backup.cpp
@@ -1482,6 +1482,7 @@ static UniValue ProcessDescriptorImport(CWallet& wallet, const UniValue& data, c
         }
 
         // Range check
+        std::optional<bool> is_ranged;
         int64_t range_start = 0, range_end = 1, next_index = 0;
         if (!parsed_descs.at(0)->IsRange() && data.exists("range")) {
             throw JSONRPCError(RPC_INVALID_PARAMETER, "Range should not be specified for an un-ranged descriptor");
@@ -1496,6 +1497,7 @@ static UniValue ProcessDescriptorImport(CWallet& wallet, const UniValue& data, c
                 range_end = wallet.m_keypool_size;
             }
             next_index = range_start;
+            is_ranged = true;
 
             if (data.exists("next_index")) {
                 next_index = data["next_index"].getInt<int64_t>();
@@ -1517,12 +1519,13 @@ static UniValue ProcessDescriptorImport(CWallet& wallet, const UniValue& data, c
         }
 
         // Ranged descriptors should not have a label
-        if (data.exists("range") && data.exists("label")) {
+        if (is_ranged.has_value() && is_ranged.value() && data.exists("label")) {
             throw JSONRPCError(RPC_INVALID_PARAMETER, "Ranged descriptors should not have a label");
         }
 
+        bool desc_internal = internal.has_value() && internal.value();
         // Internal addresses should not have a label either
-        if (internal && data.exists("label")) {
+        if (desc_internal && data.exists("label")) {
             throw JSONRPCError(RPC_INVALID_PARAMETER, "Internal addresses should not have a label");
         }
 
@@ -1538,7 +1541,6 @@ static UniValue ProcessDescriptorImport(CWallet& wallet, const UniValue& data, c
 
         for (size_t j = 0; j < parsed_descs.size(); ++j) {
             auto parsed_desc = std::move(parsed_descs[j]);
-            bool desc_internal = internal.has_value() && internal.value();
             if (parsed_descs.size() == 2) {
                 desc_internal = j == 1;
             } else if (parsed_descs.size() > 2) {
diff --git a/test/functional/wallet_rescan_unconfirmed.py b/test/functional/wallet_rescan_unconfirmed.py
index 23c58b92f42..4a7e44c0ddc 100755
--- a/test/functional/wallet_rescan_unconfirmed.py
+++ b/test/functional/wallet_rescan_unconfirmed.py
@@ -65,7 +65,8 @@ class WalletRescanUnconfirmed(BitcoinTestFramework):
         assert tx_parent_to_reorg["txid"] in node.getrawmempool()
 
         self.log.info("Import descriptor wallet on another node")
-        descriptors_to_import = [{"desc": w0.getaddressinfo(parent_address)['parent_desc'], "timestamp": 0, "label": "w0 import"}]
+        # descriptor is ranged - label not allowed
+        descriptors_to_import = [{"desc": w0.getaddressinfo(parent_address)['parent_desc'], "timestamp": 0}]
 
         node.createwallet(wallet_name="w1", disable_private_keys=True)
         w1 = node.get_wallet_rpc("w1")