diff --git a/tests/integration/targets/inventory_aws_ec2/playbooks/test_populating_inventory_with_hostnames.yml b/tests/integration/targets/inventory_aws_ec2/playbooks/test_populating_inventory_with_hostnames.yml
index 0821473fd1f..639acca007e 100644
--- a/tests/integration/targets/inventory_aws_ec2/playbooks/test_populating_inventory_with_hostnames.yml
+++ b/tests/integration/targets/inventory_aws_ec2/playbooks/test_populating_inventory_with_hostnames.yml
@@ -33,6 +33,9 @@
         # refresh inventory
         - meta: refresh_inventory
 
+        - debug:
+            var: groups
+
         - name: assert groups and hostvars were populated with inventory
           assert:
             that:
diff --git a/tests/integration/targets/inventory_aws_ec2/playbooks/test_populating_inventory_with_hostnames_using_tags.yml b/tests/integration/targets/inventory_aws_ec2/playbooks/test_populating_inventory_with_hostnames_using_tags.yml
new file mode 100644
index 00000000000..58dff9b8fb6
--- /dev/null
+++ b/tests/integration/targets/inventory_aws_ec2/playbooks/test_populating_inventory_with_hostnames_using_tags.yml
@@ -0,0 +1,62 @@
+---
+- hosts: 127.0.0.1
+  connection: local
+  gather_facts: false
+  environment: "{{ ansible_test.environment }}"
+  tasks:
+
+    - module_defaults:
+        group/aws:
+          aws_access_key: '{{ aws_access_key }}'
+          aws_secret_key: '{{ aws_secret_key }}'
+          security_token: '{{ security_token | default(omit) }}'
+          region: '{{ aws_region }}'
+      block:
+
+        # Create VPC, subnet, security group, and find image_id to create instance
+        - include_tasks: setup.yml
+
+        # Create new host
+        - name: create a new host
+          ec2_instance:
+            image_id: '{{ image_id }}'
+            name: '{{ resource_prefix }}'
+            tags:
+              Tag1: Test1
+              Tag2: Test2
+            instance_type: t2.micro
+            security_groups: '{{ sg_id }}'
+            vpc_subnet_id: '{{ subnet_id }}'
+            wait: false
+          register: setup_instance
+
+        # refresh inventory
+        - meta: refresh_inventory
+
+        - debug:
+            var: groups
+
+        - name: assert groups and hostvars were populated with inventory
+          assert:
+            that:
+              - "'aws_ec2' in groups"
+              - groups['aws_ec2'] | length == 2
+              - "'Tag1_Test1' in groups['aws_ec2']"
+              - "'Tag2_Test2' in groups['aws_ec2']"
+              - "'Tag1_Test1' in hostvars"
+              - "'Tag2_Test2' in hostvars"
+
+      always:
+
+        - name: remove ec2 instance
+          ec2_instance:
+            instance_type: t2.micro
+            instance_ids: '{{ setup_instance.instance_ids }}'
+            state: absent
+            name: '{{ resource_prefix }}'
+            security_groups: "{{ sg_id }}"
+            vpc_subnet_id: "{{ subnet_id }}"
+          ignore_errors: true
+          when: setup_instance is defined
+
+        - include_tasks: tear_down.yml
diff --git a/tests/integration/targets/inventory_aws_ec2/runme.sh b/tests/integration/targets/inventory_aws_ec2/runme.sh
index fcd4f88a7e6..d2940cd2a37 100755
--- a/tests/integration/targets/inventory_aws_ec2/runme.sh
+++ b/tests/integration/targets/inventory_aws_ec2/runme.sh
@@ -40,8 +40,10 @@ ansible-playbook playbooks/create_inventory_config.yml -e "template='inventory_w
 ansible-playbook playbooks/test_populating_inventory_with_concatenation.yml "$@"
 ansible-playbook playbooks/create_inventory_config.yml -e "template='inventory_with_literal_string.yml.j2'" "$@"
 ansible-playbook playbooks/test_populating_inventory_with_literal_string.yml "$@"
-ansible-playbook playbooks/create_inventory_config.yml -e "template='inventory_with_hostnames.yml.j2'" "$@"
-ansible-playbook playbooks/test_populating_inventory_with_hostnames.yml "$@"
+ansible-playbook playbooks/create_inventory_config.yml -e "template='inventory_with_hostnames_using_tags_classic.yml.j2'" "$@"
+ansible-playbook playbooks/test_populating_inventory_with_hostnames_using_tags_classic.yml "$@"
+ansible-playbook playbooks/create_inventory_config.yml -e "template='inventory_with_hostnames_using_tags.yml.j2'" "$@"
+ansible-playbook playbooks/test_populating_inventory_with_hostnames_using_tags.yml "$@"
 
 # generate inventory config with includes_entries_matching and prepare the tests
 ansible-playbook playbooks/create_inventory_config.yml -e "template='inventory_with_include_or_exclude_filters.yml.j2'" "$@"
diff --git a/tests/integration/targets/inventory_aws_ec2/templates/inventory_with_hostnames.yml.j2 b/tests/integration/targets/inventory_aws_ec2/templates/inventory_with_hostnames_using_tags.yml.j2
similarity index 84%
rename from tests/integration/targets/inventory_aws_ec2/templates/inventory_with_hostnames.yml.j2
rename to tests/integration/targets/inventory_aws_ec2/templates/inventory_with_hostnames_using_tags.yml.j2
index db61df81141..341ceac9afe 100644
--- a/tests/integration/targets/inventory_aws_ec2/templates/inventory_with_hostnames.yml.j2
+++ b/tests/integration/targets/inventory_aws_ec2/templates/inventory_with_hostnames_using_tags.yml.j2
@@ -13,9 +13,8 @@ hostnames:
 # can also be specified using
 # - tag:Tag1,Tag2
 # or
-# - tag:Tag1=Test1,Tag2=Test2
-# or
 - tag:Tag1
 - tag:Tag2
+#- tag:Tag1=Test1,Tag2=Test2
 compose:
-   ansible_host: private_ip_address
+  ansible_host: private_ip_address
diff --git a/tests/integration/targets/inventory_aws_ec2/templates/inventory_with_hostnames_using_tags_classic.yml.j2 b/tests/integration/targets/inventory_aws_ec2/templates/inventory_with_hostnames_using_tags_classic.yml.j2
new file mode 100644
index 00000000000..c33a91a8d8c
--- /dev/null
+++ b/tests/integration/targets/inventory_aws_ec2/templates/inventory_with_hostnames_using_tags_classic.yml.j2
@@ -0,0 +1,21 @@
+plugin: amazon.aws.aws_ec2
+aws_access_key_id: '{{ aws_access_key }}'
+aws_secret_access_key: '{{ aws_secret_key }}'
+{% if security_token | default(false) %}
+aws_security_token: '{{ security_token }}'
+{% endif %}
+regions:
+- '{{ aws_region }}'
+#keyed_groups:
+#- prefix: tag
+#  key: tags
+hostnames:
+# can also be specified using
+# - tag:Tag1,Tag2
+# or
+# - tag:Tag1=Test1,Tag2=Test2
+# or
+- tag:Tag1
+- tag:Tag2
+compose:
+  ansible_host: private_ip_address