diff --git a/app/assets/javascripts/discourse/app/controllers/preferences/tracking.js b/app/assets/javascripts/discourse/app/controllers/preferences/tracking.js
index 2f515b94253..a39a922dd9b 100644
--- a/app/assets/javascripts/discourse/app/controllers/preferences/tracking.js
+++ b/app/assets/javascripts/discourse/app/controllers/preferences/tracking.js
@@ -108,12 +108,17 @@ export default class extends Controller {
     "model.muted_tags.[]"
   )
   get showMutePrecedenceSetting() {
-    return (
+    const show =
       (this.model.watchedCategories?.length > 0 &&
         this.model.muted_tags?.length > 0) ||
       (this.model.watched_tags?.length > 0 &&
-        this.model.mutedCategories?.length > 0)
-    );
+        this.model.mutedCategories?.length > 0);
+
+    if (show && this.model.user_option.watched_precedence_over_muted === null) {
+      this.model.user_option.watched_precedence_over_muted =
+        this.siteSettings.watched_precedence_over_muted;
+    }
+    return show;
   }
 
   @computed(
diff --git a/app/assets/javascripts/discourse/tests/acceptance/user-preferences-tracking-test.js b/app/assets/javascripts/discourse/tests/acceptance/user-preferences-tracking-test.js
index 176516da4e3..68b8f980ed4 100644
--- a/app/assets/javascripts/discourse/tests/acceptance/user-preferences-tracking-test.js
+++ b/app/assets/javascripts/discourse/tests/acceptance/user-preferences-tracking-test.js
@@ -196,6 +196,22 @@ acceptance("User Preferences - Tracking", function (needs) {
     });
   });
 
+  test("additional precedence option when one category is watched and tag is muted", async function (assert) {
+    this.siteSettings.tagging_enabled = true;
+
+    await visit("/u/eviltrout/preferences/tracking");
+
+    const mutedTagsSelector = selectKit(
+      ".tracking-controls__muted-tags .tag-chooser"
+    );
+
+    assert.dom(".user-preferences__watched-precedence-over-muted").doesNotExist;
+    await mutedTagsSelector.expand();
+    await mutedTagsSelector.selectRowByValue("dog");
+
+    assert.dom(".user-preferences__watched-precedence-over-muted").exists();
+  });
+
   test("tracking category which is set to regular notification level for user when mute_all_categories_by_default site setting is disabled", async function (assert) {
     this.siteSettings.tagging_enabled = false;
 
diff --git a/app/services/post_alerter.rb b/app/services/post_alerter.rb
index 25a2b982d82..dfd31db3bee 100644
--- a/app/services/post_alerter.rb
+++ b/app/services/post_alerter.rb
@@ -272,6 +272,8 @@ class PostAlerter
       SELECT user_id FROM category_users WHERE category_id = #{topic.category_id.to_i} AND notification_level = #{CategoryUser.notification_levels[:muted]}
       UNION
       SELECT user_id FROM tag_users tu JOIN topic_tags tt ON tt.tag_id = tu.tag_id AND tt.topic_id = #{topic.id} AND tu.notification_level = #{TagUser.notification_levels[:muted]}
+      EXCEPT
+      SELECT user_id FROM topic_users tus WHERE tus.topic_id = #{topic.id} AND tus.notification_level = #{TopicUser.notification_levels[:watching]}
     SQL
     User
       .where("id IN (#{user_ids_sql})")
diff --git a/spec/services/post_alerter_spec.rb b/spec/services/post_alerter_spec.rb
index b6d6a634969..9cfb9c1350f 100644
--- a/spec/services/post_alerter_spec.rb
+++ b/spec/services/post_alerter_spec.rb
@@ -1905,10 +1905,22 @@ RSpec.describe PostAlerter do
       fab!(:topic_with_muted_category_and_watched_tag) do
         Fabricate(:topic, category: muted_category, tags: [watched_tag])
       end
+      fab!(:directly_watched_topic) do
+        Fabricate(:topic, category: muted_category, tags: [muted_tag])
+      end
+      fab!(:topic_user) do
+        Fabricate(
+          :topic_user,
+          topic: directly_watched_topic,
+          user: user,
+          notification_level: TopicUser.notification_levels[:watching],
+        )
+      end
       fab!(:topic_with_watched_category) { Fabricate(:topic, category: category) }
       fab!(:post) { Fabricate(:post, topic: topic_with_muted_tag_and_watched_category) }
       fab!(:post_2) { Fabricate(:post, topic: topic_with_muted_category_and_watched_tag) }
       fab!(:post_3) { Fabricate(:post, topic: topic_with_watched_category) }
+      fab!(:post_4) { Fabricate(:post, topic: directly_watched_topic) }
 
       before do
         CategoryUser.set_notification_level_for_category(
@@ -1926,6 +1938,9 @@ RSpec.describe PostAlerter do
         expect {
           PostAlerter.post_created(topic_with_muted_category_and_watched_tag.posts.first)
         }.to change { Notification.count }.by(1)
+        expect { PostAlerter.post_created(directly_watched_topic.posts.first) }.to change {
+          Notification.count
+        }.by(1)
       end
 
       it "respects user option even if watched_precedence_over_muted site setting is true" do
@@ -1937,6 +1952,9 @@ RSpec.describe PostAlerter do
         expect {
           PostAlerter.post_created(topic_with_muted_category_and_watched_tag.posts.first)
         }.not_to change { Notification.count }
+        expect { PostAlerter.post_created(directly_watched_topic.posts.first) }.to change {
+          Notification.count
+        }.by(1)
       end
 
       it "does not add notification when watched_precedence_over_muted setting is false" do
@@ -1950,6 +1968,9 @@ RSpec.describe PostAlerter do
         expect { PostAlerter.post_created(topic_with_watched_category.posts.first) }.to change {
           Notification.count
         }.by(1)
+        expect { PostAlerter.post_created(directly_watched_topic.posts.first) }.to change {
+          Notification.count
+        }.by(1)
       end
 
       it "respects user option even if watched_precedence_over_muted site setting is false" do
@@ -1961,6 +1982,9 @@ RSpec.describe PostAlerter do
         expect {
           PostAlerter.post_created(topic_with_muted_category_and_watched_tag.posts.first)
         }.to change { Notification.count }.by(1)
+        expect { PostAlerter.post_created(directly_watched_topic.posts.first) }.to change {
+          Notification.count
+        }.by(1)
       end
     end