diff --git a/src/vfs/idmapped-mounts.c b/src/vfs/idmapped-mounts.c
index 63297d5f..72de52cc 100644
--- a/src/vfs/idmapped-mounts.c
+++ b/src/vfs/idmapped-mounts.c
@@ -7664,6 +7664,425 @@ out:
 	return fret;
 }
 
+static int setgid_create_umask_idmapped(const struct vfstest_info *info)
+{
+	int fret = -1;
+	int file1_fd = -EBADF, open_tree_fd = -EBADF;
+	struct mount_attr attr = {
+		.attr_set = MOUNT_ATTR_IDMAP,
+	};
+	pid_t pid;
+	int tmpfile_fd = -EBADF;
+	bool supported = false;
+	char path[PATH_MAX];
+	mode_t mode;
+
+	if (!caps_supported())
+		return 0;
+
+	if (fchmod(info->t_dir1_fd, S_IRUSR |
+			      S_IWUSR |
+			      S_IRGRP |
+			      S_IWGRP |
+			      S_IROTH |
+			      S_IWOTH |
+			      S_IXUSR |
+			      S_IXGRP |
+			      S_IXOTH |
+			      S_ISGID), 0) {
+		log_stderr("failure: fchmod");
+		goto out;
+	}
+
+	/* Verify that the sid bits got raised. */
+	if (!is_setgid(info->t_dir1_fd, "", AT_EMPTY_PATH)) {
+		log_stderr("failure: is_setgid");
+		goto out;
+	}
+
+	/* Changing mount properties on a detached mount. */
+	attr.userns_fd	= get_userns_fd(0, 10000, 10000);
+	if (attr.userns_fd < 0) {
+		log_stderr("failure: get_userns_fd");
+		goto out;
+	}
+
+	open_tree_fd = sys_open_tree(info->t_dir1_fd, "",
+				     AT_EMPTY_PATH |
+				     AT_NO_AUTOMOUNT |
+				     AT_SYMLINK_NOFOLLOW |
+				     OPEN_TREE_CLOEXEC |
+				     OPEN_TREE_CLONE);
+	if (open_tree_fd < 0) {
+		log_stderr("failure: sys_open_tree");
+		goto out;
+	}
+
+	if (sys_mount_setattr(open_tree_fd, "", AT_EMPTY_PATH, &attr, sizeof(attr))) {
+		log_stderr("failure: sys_mount_setattr");
+		goto out;
+	}
+
+	supported = openat_tmpfile_supported(open_tree_fd);
+
+	/* Only umask with S_IXGRP because inode strip S_ISGID will check mode
+	 * whether has group execute or search permission.
+	 */
+	umask(S_IXGRP);
+	mode = umask(S_IXGRP);
+	if (!(mode & S_IXGRP))
+		die("failure: umask");
+
+		pid = fork();
+	if (pid < 0) {
+		log_stderr("failure: fork");
+		goto out;
+	}
+	if (pid == 0) {
+		if (!switch_ids(10000, 11000))
+			die("failure: switch fsids");
+
+		/* create regular file via open() */
+		file1_fd = openat(open_tree_fd, FILE1, O_CREAT | O_EXCL | O_CLOEXEC, S_IXGRP | S_ISGID);
+		if (file1_fd < 0)
+			die("failure: create");
+
+		/* Neither in_group_p() nor capable_wrt_inode_uidgid() so setgid
+		 * bit needs to be stripped.
+		 */
+		if (is_setgid(open_tree_fd, FILE1, 0))
+			die("failure: is_setgid");
+
+		if (is_ixgrp(open_tree_fd, FILE1, 0))
+			die("failure: is_ixgrp");
+
+		/* create directory */
+		if (mkdirat(open_tree_fd, DIR1, 0000))
+			die("failure: create");
+
+		if (xfs_irix_sgid_inherit_enabled(info->t_fstype)) {
+			/* We're not in_group_p(). */
+			if (is_setgid(open_tree_fd, DIR1, 0))
+				die("failure: is_setgid");
+		} else {
+			/* Directories always inherit the setgid bit. */
+			if (!is_setgid(open_tree_fd, DIR1, 0))
+				die("failure: is_setgid");
+		}
+
+		if (is_ixgrp(open_tree_fd, DIR1, 0))
+			die("failure: is_ixgrp");
+
+		/* create a special file via mknodat() vfs_create */
+		if (mknodat(open_tree_fd, FILE2, S_IFREG | S_ISGID | S_IXGRP, 0))
+			die("failure: mknodat");
+
+		if (is_setgid(open_tree_fd, FILE2, 0))
+			die("failure: is_setgid");
+
+		if (is_ixgrp(open_tree_fd, FILE2, 0))
+			die("failure: is_ixgrp");
+
+		/* create a whiteout device via mknodat() vfs_mknod */
+		if (mknodat(open_tree_fd, CHRDEV1, S_IFCHR | S_ISGID | S_IXGRP, 0))
+			die("failure: mknodat");
+
+		if (is_setgid(open_tree_fd, CHRDEV1, 0))
+			die("failure: is_setgid");
+
+		if (is_ixgrp(open_tree_fd, CHRDEV1, 0))
+			die("failure: is_ixgrp");
+
+		/*
+		 * In setgid directories newly created files always inherit the
+		 * gid from the parent directory. Verify that the file is owned
+		 * by gid 10000, not by gid 11000.
+		 */
+		if (!expected_uid_gid(open_tree_fd, FILE1, 0, 10000, 10000))
+			die("failure: check ownership");
+
+		/*
+		 * In setgid directories newly created directories always
+		 * inherit the gid from the parent directory. Verify that the
+		 * directory is owned by gid 10000, not by gid 11000.
+		 */
+		if (!expected_uid_gid(open_tree_fd, DIR1, 0, 10000, 10000))
+			die("failure: check ownership");
+
+		if (!expected_uid_gid(open_tree_fd, FILE2, 0, 10000, 10000))
+			die("failure: check ownership");
+
+		if (!expected_uid_gid(open_tree_fd, CHRDEV1, 0, 10000, 10000))
+			die("failure: check ownership");
+
+		if (unlinkat(open_tree_fd, FILE1, 0))
+			die("failure: delete");
+
+		if (unlinkat(open_tree_fd, DIR1, AT_REMOVEDIR))
+			die("failure: delete");
+
+		if (unlinkat(open_tree_fd, FILE2, 0))
+			die("failure: delete");
+
+		if (unlinkat(open_tree_fd, CHRDEV1, 0))
+			die("failure: delete");
+
+		/* create tmpfile via filesystem tmpfile api */
+		if (supported) {
+			tmpfile_fd = openat(open_tree_fd, ".", O_TMPFILE | O_RDWR, S_IXGRP | S_ISGID);
+			if (tmpfile_fd < 0)
+				die("failure: create");
+			/* link the temporary file into the filesystem, making it permanent */
+			snprintf(path, PATH_MAX,  "/proc/self/fd/%d", tmpfile_fd);
+			if (linkat(AT_FDCWD, path, open_tree_fd, FILE3, AT_SYMLINK_FOLLOW))
+				die("failure: linkat");
+			if (close(tmpfile_fd))
+				die("failure: close");
+			if (is_setgid(open_tree_fd, FILE3, 0))
+				die("failure: is_setgid");
+			if (is_ixgrp(open_tree_fd, FILE3, 0))
+				die("failure: is_ixgrp");
+			if (!expected_uid_gid(open_tree_fd, FILE3, 0, 10000, 10000))
+				die("failure: check ownership");
+			if (unlinkat(open_tree_fd, FILE3, 0))
+				die("failure: delete");
+		}
+
+		exit(EXIT_SUCCESS);
+	}
+	if (wait_for_pid(pid))
+		goto out;
+
+	fret = 0;
+	log_debug("Ran test");
+out:
+	safe_close(attr.userns_fd);
+	safe_close(file1_fd);
+	safe_close(open_tree_fd);
+
+	return fret;
+}
+
+static int setgid_create_umask_idmapped_in_userns(const struct vfstest_info *info)
+{
+	int fret = -1;
+	int file1_fd = -EBADF, open_tree_fd = -EBADF;
+	struct mount_attr attr = {
+		.attr_set = MOUNT_ATTR_IDMAP,
+	};
+	pid_t pid;
+	int tmpfile_fd = -EBADF;
+	bool supported = false;
+	char path[PATH_MAX];
+	mode_t mode;
+
+	if (!caps_supported())
+		return 0;
+
+	if (fchmod(info->t_dir1_fd, S_IRUSR |
+			      S_IWUSR |
+			      S_IRGRP |
+			      S_IWGRP |
+			      S_IROTH |
+			      S_IWOTH |
+			      S_IXUSR |
+			      S_IXGRP |
+			      S_IXOTH |
+			      S_ISGID), 0) {
+		log_stderr("failure: fchmod");
+		goto out;
+	}
+
+	/* Verify that the sid bits got raised. */
+	if (!is_setgid(info->t_dir1_fd, "", AT_EMPTY_PATH)) {
+		log_stderr("failure: is_setgid");
+		goto out;
+	}
+
+	/* Changing mount properties on a detached mount. */
+	attr.userns_fd	= get_userns_fd(0, 10000, 10000);
+	if (attr.userns_fd < 0) {
+		log_stderr("failure: get_userns_fd");
+		goto out;
+	}
+
+	open_tree_fd = sys_open_tree(info->t_dir1_fd, "",
+				     AT_EMPTY_PATH |
+				     AT_NO_AUTOMOUNT |
+				     AT_SYMLINK_NOFOLLOW |
+				     OPEN_TREE_CLOEXEC |
+				     OPEN_TREE_CLONE);
+	if (open_tree_fd < 0) {
+		log_stderr("failure: sys_open_tree");
+		goto out;
+	}
+
+	if (sys_mount_setattr(open_tree_fd, "", AT_EMPTY_PATH, &attr, sizeof(attr))) {
+		log_stderr("failure: sys_mount_setattr");
+		goto out;
+	}
+
+	supported = openat_tmpfile_supported(open_tree_fd);
+
+	/* Only umask with S_IXGRP because inode strip S_ISGID will check mode
+	 * whether has group execute or search permission.
+	 */
+	umask(S_IXGRP);
+	mode = umask(S_IXGRP);
+	if (!(mode & S_IXGRP))
+		die("failure: umask");
+
+	/*
+	 * Below we verify that setgid inheritance for a newly created file or
+	 * directory works correctly. As part of this we need to verify that
+	 * newly created files or directories inherit their gid from their
+	 * parent directory. So we change the parent directorie's gid to 1000
+	 * and create a file with fs{g,u}id 0 and verify that the newly created
+	 * file and directory inherit gid 1000, not 0.
+	 */
+	if (fchownat(info->t_dir1_fd, "", -1, 1000, AT_SYMLINK_NOFOLLOW | AT_EMPTY_PATH)) {
+		log_stderr("failure: fchownat");
+		goto out;
+	}
+
+	pid = fork();
+	if (pid < 0) {
+		log_stderr("failure: fork");
+		goto out;
+	}
+	if (pid == 0) {
+		if (!caps_supported()) {
+			log_debug("skip: capability library not installed");
+			exit(EXIT_SUCCESS);
+		}
+
+		if (!switch_userns(attr.userns_fd, 0, 0, false))
+			die("failure: switch_userns");
+
+		if (!caps_down_fsetid())
+			die("failure: caps_down_fsetid");
+
+		/* create regular file via open() */
+		file1_fd = openat(open_tree_fd, FILE1, O_CREAT | O_EXCL | O_CLOEXEC, S_IXGRP | S_ISGID);
+		if (file1_fd < 0)
+			die("failure: create");
+
+		/* Neither in_group_p() nor capable_wrt_inode_uidgid() so setgid
+		 * bit needs to be stripped.
+		 */
+		if (is_setgid(open_tree_fd, FILE1, 0))
+			die("failure: is_setgid");
+
+		if (is_ixgrp(open_tree_fd, FILE1, 0))
+			die("failure: is_ixgrp");
+
+		/* create directory */
+		if (mkdirat(open_tree_fd, DIR1, 0000))
+			die("failure: create");
+
+		if (xfs_irix_sgid_inherit_enabled(info->t_fstype)) {
+			/* We're not in_group_p(). */
+			if (is_setgid(open_tree_fd, DIR1, 0))
+				die("failure: is_setgid");
+		} else {
+			/* Directories always inherit the setgid bit. */
+			if (!is_setgid(open_tree_fd, DIR1, 0))
+				die("failure: is_setgid");
+		}
+
+		if (is_ixgrp(open_tree_fd, DIR1, 0))
+			die("failure: is_ixgrp");
+
+		/* create a special file via mknodat() vfs_create */
+		if (mknodat(open_tree_fd, FILE2, S_IFREG | S_ISGID | S_IXGRP, 0))
+			die("failure: mknodat");
+
+		if (is_setgid(open_tree_fd, FILE2, 0))
+			die("failure: is_setgid");
+
+		if (is_ixgrp(open_tree_fd, FILE2, 0))
+			die("failure: is_ixgrp");
+
+		/* create a whiteout device via mknodat() vfs_mknod */
+		if (mknodat(open_tree_fd, CHRDEV1, S_IFCHR | S_ISGID | S_IXGRP, 0))
+			die("failure: mknodat");
+
+		if (is_setgid(open_tree_fd, CHRDEV1, 0))
+			die("failure: is_setgid");
+
+		if (is_ixgrp(open_tree_fd, CHRDEV1, 0))
+			die("failure: is_ixgrp");
+
+		/*
+		 * In setgid directories newly created files always inherit the
+		 * gid from the parent directory. Verify that the file is owned
+		 * by gid 1000, not by gid 0.
+		 */
+		if (!expected_uid_gid(open_tree_fd, FILE1, 0, 0, 1000))
+			die("failure: check ownership");
+
+		/*
+		 * In setgid directories newly created directories always
+		 * inherit the gid from the parent directory. Verify that the
+		 * directory is owned by gid 1000, not by gid 0.
+		 */
+		if (!expected_uid_gid(open_tree_fd, DIR1, 0, 0, 1000))
+			die("failure: check ownership");
+
+		if (!expected_uid_gid(open_tree_fd, FILE2, 0, 0, 1000))
+			die("failure: check ownership");
+
+		if (!expected_uid_gid(open_tree_fd, CHRDEV1, 0, 0, 1000))
+			die("failure: check ownership");
+
+		if (unlinkat(open_tree_fd, FILE1, 0))
+			die("failure: delete");
+
+		if (unlinkat(open_tree_fd, DIR1, AT_REMOVEDIR))
+			die("failure: delete");
+
+		if (unlinkat(open_tree_fd, FILE2, 0))
+			die("failure: delete");
+
+		if (unlinkat(open_tree_fd, CHRDEV1, 0))
+			die("failure: delete");
+
+		/* create tmpfile via filesystem tmpfile api */
+		if (supported) {
+			tmpfile_fd = openat(open_tree_fd, ".", O_TMPFILE | O_RDWR, S_IXGRP | S_ISGID);
+			if (tmpfile_fd < 0)
+				die("failure: create");
+			/* link the temporary file into the filesystem, making it permanent */
+			snprintf(path, PATH_MAX,  "/proc/self/fd/%d", tmpfile_fd);
+			if (linkat(AT_FDCWD, path, open_tree_fd, FILE3, AT_SYMLINK_FOLLOW))
+				die("failure: linkat");
+			if (close(tmpfile_fd))
+				die("failure: close");
+			if (is_setgid(open_tree_fd, FILE3, 0))
+				die("failure: is_setgid");
+			if (is_ixgrp(open_tree_fd, FILE3, 0))
+				die("failure: is_ixgrp");
+			if (!expected_uid_gid(open_tree_fd, FILE3, 0, 0, 1000))
+				die("failure: check ownership");
+			if (unlinkat(open_tree_fd, FILE3, 0))
+				die("failure: delete");
+		}
+
+		exit(EXIT_SUCCESS);
+	}
+	if (wait_for_pid(pid))
+		goto out;
+
+	fret = 0;
+	log_debug("Ran test");
+out:
+	safe_close(attr.userns_fd);
+	safe_close(file1_fd);
+	safe_close(open_tree_fd);
+
+	return fret;
+}
+
 static const struct test_struct t_idmapped_mounts[] = {
 	{ acls,                                                         true,   "posix acls on regular mounts",                                                                 },
 	{ create_in_userns,                                             true,   "create operations in user namespace",                                                          },
@@ -7745,3 +8164,13 @@ const struct test_suite s_setxattr_fix_705191b03d50 = {
 	.tests = t_setxattr_fix_705191b03d50,
 	.nr_tests = ARRAY_SIZE(t_setxattr_fix_705191b03d50),
 };
+
+static const struct test_struct t_setgid_create_umask_idmapped[] = {
+	{ setgid_create_umask_idmapped,					T_REQUIRE_IDMAPPED_MOUNTS,	"create operations by using umask in directories with setgid bit set on idmapped mount",		},
+	{ setgid_create_umask_idmapped_in_userns,			T_REQUIRE_IDMAPPED_MOUNTS,	"create operations by using umask in directories with setgid bit set on idmapped mount inside userns",	},
+};
+
+const struct test_suite s_setgid_create_umask_idmapped = {
+	.tests = t_setgid_create_umask_idmapped,
+	.nr_tests = ARRAY_SIZE(t_setgid_create_umask_idmapped),
+};
diff --git a/src/vfs/idmapped-mounts.h b/src/vfs/idmapped-mounts.h
index ff21ea2c..a332439f 100644
--- a/src/vfs/idmapped-mounts.h
+++ b/src/vfs/idmapped-mounts.h
@@ -14,5 +14,6 @@ extern const struct test_suite s_fscaps_in_ancestor_userns;
 extern const struct test_suite s_nested_userns;
 extern const struct test_suite s_setattr_fix_968219708108;
 extern const struct test_suite s_setxattr_fix_705191b03d50;
+extern const struct test_suite s_setgid_create_umask_idmapped;
 
 #endif /* __IDMAPPED_MOUNTS_H */
diff --git a/src/vfs/utils.c b/src/vfs/utils.c
index 1388edda..6db7a11d 100644
--- a/src/vfs/utils.c
+++ b/src/vfs/utils.c
@@ -809,6 +809,20 @@ bool is_sticky(int dfd, const char *path, int flags)
 	return (st.st_mode & S_ISVTX) > 0;
 }
 
+/*is_ixgrp - check whether file or directory is S_IXGRP */
+bool is_ixgrp(int dfd, const char *path, int flags)
+{
+	int ret;
+	struct stat st;
+
+	ret = fstatat(dfd, path, &st, flags);
+	if (ret < 0)
+		return false;
+
+	errno = 0; /* Don't report misleading errno. */
+	return (st.st_mode & S_IXGRP);
+}
+
 bool switch_resids(uid_t uid, gid_t gid)
 {
 	if (setresgid(gid, gid, gid))
diff --git a/src/vfs/utils.h b/src/vfs/utils.h
index 7fb702fd..c0dbe370 100644
--- a/src/vfs/utils.h
+++ b/src/vfs/utils.h
@@ -368,6 +368,7 @@ extern bool expected_file_size(int dfd, const char *path, int flags,
 extern bool is_setid(int dfd, const char *path, int flags);
 extern bool is_setgid(int dfd, const char *path, int flags);
 extern bool is_sticky(int dfd, const char *path, int flags);
+extern bool is_ixgrp(int dfd, const char *path, int flags);
 extern bool openat_tmpfile_supported(int dirfd);
 
 #endif /* __IDMAP_UTILS_H */
diff --git a/src/vfs/vfstest.c b/src/vfs/vfstest.c
index 29ac0bec..8448362e 100644
--- a/src/vfs/vfstest.c
+++ b/src/vfs/vfstest.c
@@ -1733,6 +1733,186 @@ out:
 	return fret;
 }
 
+/* The current_umask() is stripped from the mode directly in the vfs if the
+ * filesystem either doesn't support acls or the filesystem has been
+ * mounted without posic acl support.
+ *
+ * If the filesystem does support acls then current_umask() stripping is
+ * deferred to posix_acl_create(). So when the filesystem calls
+ * posix_acl_create() and there are no acls set or not supported then
+ * current_umask() will be stripped.
+ *
+ * Use umask(S_IXGRP) to check whether inode strip S_ISGID works correctly.
+ */
+
+static int setgid_create_umask(const struct vfstest_info *info)
+{
+	int fret = -1;
+	int file1_fd = -EBADF;
+	int tmpfile_fd = -EBADF;
+	pid_t pid;
+	bool supported = false;
+	mode_t mode;
+
+	if (!caps_supported())
+		return 0;
+
+	if (fchmod(info->t_dir1_fd, S_IRUSR |
+			      S_IWUSR |
+			      S_IRGRP |
+			      S_IWGRP |
+			      S_IROTH |
+			      S_IWOTH |
+			      S_IXUSR |
+			      S_IXGRP |
+			      S_IXOTH |
+			      S_ISGID), 0) {
+		log_stderr("failure: fchmod");
+		goto out;
+	}
+
+	/* Verify that the setgid bit got raised. */
+	if (!is_setgid(info->t_dir1_fd, "", AT_EMPTY_PATH)) {
+		log_stderr("failure: is_setgid");
+		goto out;
+	}
+
+	supported = openat_tmpfile_supported(info->t_dir1_fd);
+
+	/* Only umask with S_IXGRP because inode strip S_ISGID will check mode
+	 * whether has group execute or search permission.
+	 */
+	umask(S_IXGRP);
+	mode = umask(S_IXGRP);
+	if (!(mode & S_IXGRP))
+		die("failure: umask");
+
+	pid = fork();
+	if (pid < 0) {
+		log_stderr("failure: fork");
+		goto out;
+	}
+	if (pid == 0) {
+		if (!switch_ids(0, 10000))
+			die("failure: switch_ids");
+
+		if (!caps_down_fsetid())
+			die("failure: caps_down_fsetid");
+
+		/* create regular file via open() */
+		file1_fd = openat(info->t_dir1_fd, FILE1, O_CREAT | O_EXCL | O_CLOEXEC, S_IXGRP | S_ISGID);
+		if (file1_fd < 0)
+			die("failure: create");
+
+		/* Neither in_group_p() nor capable_wrt_inode_uidgid() so setgid
+		 * bit needs to be stripped.
+		 */
+		if (is_setgid(info->t_dir1_fd, FILE1, 0))
+			die("failure: is_setgid");
+
+		if (is_ixgrp(info->t_dir1_fd, FILE1, 0))
+			die("failure: is_ixgrp");
+
+		if (mkdirat(info->t_dir1_fd, DIR1, 0000))
+			die("failure: create");
+
+		if (xfs_irix_sgid_inherit_enabled(info->t_fstype)) {
+			/* We're not in_group_p(). */
+			if (is_setgid(info->t_dir1_fd, DIR1, 0))
+				die("failure: is_setgid");
+		} else {
+			/* Directories always inherit the setgid bit. */
+			if (!is_setgid(info->t_dir1_fd, DIR1, 0))
+				die("failure: is_setgid");
+		}
+
+		if (is_ixgrp(info->t_dir1_fd, DIR1, 0))
+			die("failure: is_ixgrp");
+
+		/* create a special file via mknodat() vfs_create */
+		if (mknodat(info->t_dir1_fd, FILE2, S_IFREG | S_ISGID | S_IXGRP, 0))
+			die("failure: mknodat");
+
+		if (is_setgid(info->t_dir1_fd, FILE2, 0))
+			die("failure: is_setgid");
+
+		if (is_ixgrp(info->t_dir1_fd, FILE2, 0))
+			die("failure: is_ixgrp");
+
+		/* create a character device via mknodat() vfs_mknod */
+		if (mknodat(info->t_dir1_fd, CHRDEV1, S_IFCHR | S_ISGID | S_IXGRP, makedev(5, 1)))
+			die("failure: mknodat");
+
+		if (is_setgid(info->t_dir1_fd, CHRDEV1, 0))
+			die("failure: is_setgid");
+
+		if (is_ixgrp(info->t_dir1_fd, CHRDEV1, 0))
+			die("failure: is_ixgrp");
+
+		/*
+		 * In setgid directories newly created files always inherit the
+		 * gid from the parent directory. Verify that the file is owned
+		 * by gid 0, not by gid 10000.
+		 */
+		if (!expected_uid_gid(info->t_dir1_fd, FILE1, 0, 0, 0))
+			die("failure: check ownership");
+
+		/*
+		 * In setgid directories newly created directories always
+		 * inherit the gid from the parent directory. Verify that the
+		 * directory is owned by gid 0, not by gid 10000.
+		 */
+		if (!expected_uid_gid(info->t_dir1_fd, DIR1, 0, 0, 0))
+			die("failure: check ownership");
+
+		if (!expected_uid_gid(info->t_dir1_fd, FILE2, 0, 0, 0))
+			die("failure: check ownership");
+
+		if (!expected_uid_gid(info->t_dir1_fd, CHRDEV1, 0, 0, 0))
+			die("failure: check ownership");
+
+		if (unlinkat(info->t_dir1_fd, FILE1, 0))
+			die("failure: delete");
+
+		if (unlinkat(info->t_dir1_fd, DIR1, AT_REMOVEDIR))
+			die("failure: delete");
+
+		if (unlinkat(info->t_dir1_fd, FILE2, 0))
+			die("failure: delete");
+
+		if (unlinkat(info->t_dir1_fd, CHRDEV1, 0))
+			die("failure: delete");
+
+		/* create tmpfile via filesystem tmpfile api */
+		if (supported) {
+			tmpfile_fd = openat(info->t_dir1_fd, ".", O_TMPFILE | O_RDWR, S_IXGRP | S_ISGID);
+			if (tmpfile_fd < 0)
+				die("failure: create");
+			/* link the temporary file into the filesystem, making it permanent */
+			if (linkat(tmpfile_fd, "", info->t_dir1_fd, FILE3, AT_EMPTY_PATH))
+				die("failure: linkat");
+			if (close(tmpfile_fd))
+				die("failure: close");
+			if (is_setgid(info->t_dir1_fd, FILE3, 0))
+				die("failure: is_setgid");
+			if (is_ixgrp(info->t_dir1_fd, FILE3, 0))
+				die("failure: is_ixgrp");
+			if (unlinkat(info->t_dir1_fd, FILE3, 0))
+				die("failure: delete");
+		}
+
+		exit(EXIT_SUCCESS);
+	}
+	if (wait_for_pid(pid))
+		goto out;
+
+	fret = 0;
+	log_debug("Ran test");
+out:
+	safe_close(file1_fd);
+	return fret;
+}
+
 static int setattr_truncate(const struct vfstest_info *info)
 {
 	int fret = -1;
@@ -1807,6 +1987,7 @@ static void usage(void)
 	fprintf(stderr, "--test-btrfs                        Run btrfs specific idmapped mount testsuite\n");
 	fprintf(stderr, "--test-setattr-fix-968219708108     Run setattr regression tests\n");
 	fprintf(stderr, "--test-setxattr-fix-705191b03d50    Run setxattr regression tests\n");
+	fprintf(stderr, "--test-setgid-create-umask          Run setgid with umask tests\n");
 
 	_exit(EXIT_SUCCESS);
 }
@@ -1825,6 +2006,7 @@ static const struct option longopts[] = {
 	{"test-btrfs",				no_argument,		0,	'b'},
 	{"test-setattr-fix-968219708108",	no_argument,		0,	'i'},
 	{"test-setxattr-fix-705191b03d50",	no_argument,		0,	'j'},
+	{"test-setgid-create-umask",		no_argument,		0,	'u'},
 	{NULL,					0,			0,	  0},
 };
 
@@ -1850,6 +2032,15 @@ static const struct test_suite s_basic = {
 	.nr_tests = ARRAY_SIZE(t_basic),
 };
 
+static const struct test_struct t_setgid_create_umask[] = {
+	{ setgid_create_umask,						0,			"create operations in directories with setgid bit set under umask",				},
+};
+
+static const struct test_suite s_setgid_create_umask = {
+	.tests = t_setgid_create_umask,
+	.nr_tests = ARRAY_SIZE(t_setgid_create_umask),
+};
+
 static bool run_test(struct vfstest_info *info, const struct test_struct suite[], size_t suite_size)
 {
 	int i;
@@ -1947,7 +2138,8 @@ int main(int argc, char *argv[])
 	bool idmapped_mounts_supported = false, test_btrfs = false,
 	     test_core = false, test_fscaps_regression = false,
 	     test_nested_userns = false, test_setattr_fix_968219708108 = false,
-	     test_setxattr_fix_705191b03d50 = false;
+	     test_setxattr_fix_705191b03d50 = false,
+	     test_setgid_create_umask = false;
 
 	init_vfstest_info(&info);
 
@@ -1989,6 +2181,9 @@ int main(int argc, char *argv[])
 		case 'j':
 			test_setxattr_fix_705191b03d50 = true;
 			break;
+		case 'u':
+			test_setgid_create_umask = true;
+			break;
 		case 'h':
 			/* fallthrough */
 		default:
@@ -2066,6 +2261,14 @@ int main(int argc, char *argv[])
 	    !run_suite(&info, &s_setxattr_fix_705191b03d50))
 		goto out;
 
+	if (test_setgid_create_umask) {
+		if (!run_suite(&info, &s_setgid_create_umask))
+			goto out;
+
+		if (!run_suite(&info, &s_setgid_create_umask_idmapped))
+			goto out;
+	}
+
 	fret = EXIT_SUCCESS;
 
 out:
diff --git a/tests/generic/691 b/tests/generic/691
new file mode 100755
index 00000000..d4875854
--- /dev/null
+++ b/tests/generic/691
@@ -0,0 +1,40 @@
+#! /bin/bash
+# SPDX-License-Identifier: GPL-2.0
+# Copyright (c) 2022 Fujitsu Limited. All Rights Reserved.
+#
+# FS QA Test No. 691
+#
+# Test that idmapped mounts setgid's behave correctly when using
+# umask(S_IXGRP)
+#
+. ./common/preamble
+_begin_fstest auto quick cap idmapped mount perms rw unlink
+
+# Import common functions.
+. ./common/filter
+
+# real QA test starts here
+
+_supported_fs generic
+_require_test
+_require_scratch
+
+echo "Silence is golden"
+
+$here/src/vfs/vfstest --test-setgid-create-umask \
+        --device "$TEST_DEV" --mount "$TEST_DIR" --fstype "$FSTYP"
+
+_scratch_mkfs > "$seqres.full" 2>&1
+export MOUNT_OPTIONS="-o noacl"
+
+# If filesystem supports noacl mount option, also test setgid bit whether
+# was stripped correctly.
+# noacl will earse acl flag in superblock, so kernel will use current_umask
+# in vfs directly instead of calling posix_acl_create on underflying
+# filesystem.
+_try_scratch_mount >>$seqres.full 2>&1 && \
+	$here/src/vfs/vfstest --test-setgid-create-umask \
+        --device "$SCRATCH_DEV" --mount "$SCRATCH_MNT" --fstype "$FSTYP"
+
+status=0
+exit
diff --git a/tests/generic/691.out b/tests/generic/691.out
new file mode 100644
index 00000000..006aef43
--- /dev/null
+++ b/tests/generic/691.out
@@ -0,0 +1,2 @@
+QA output created by 691
+Silence is golden
