diff --git a/modules/apps/29-fee/keeper/events_test.go b/modules/apps/29-fee/keeper/events_test.go
new file mode 100644
index 00000000000..ffdb256ac81
--- /dev/null
+++ b/modules/apps/29-fee/keeper/events_test.go
@@ -0,0 +1,83 @@
+package keeper_test
+
+import (
+	sdk "github.com/cosmos/cosmos-sdk/types"
+	abcitypes "github.com/tendermint/tendermint/abci/types"
+
+	"github.com/cosmos/ibc-go/v3/modules/apps/29-fee/types"
+)
+
+func (suite *KeeperTestSuite) TestIncentivizePacketEvent() {
+	var (
+		expRecvFees    sdk.Coins
+		expAckFees     sdk.Coins
+		expTimeoutFees sdk.Coins
+	)
+
+	suite.coordinator.Setup(suite.path)
+
+	fee := types.NewFee(defaultRecvFee, defaultAckFee, defaultTimeoutFee)
+	msg := types.NewMsgPayPacketFee(
+		fee,
+		suite.path.EndpointA.ChannelConfig.PortID,
+		suite.path.EndpointA.ChannelID,
+		suite.chainA.SenderAccount.GetAddress().String(),
+		nil,
+	)
+
+	expRecvFees.Add(fee.RecvFee...)
+	expAckFees.Add(fee.AckFee...)
+	expAckFees.Add(fee.TimeoutFee...)
+
+	result, err := suite.chainA.SendMsgs(msg)
+	suite.Require().NoError(err)
+
+	var incentivizedPacketEvent abcitypes.Event
+	for _, event := range result.Events {
+		if event.Type == types.EventTypeIncentivizedPacket {
+			incentivizedPacketEvent = event
+		}
+	}
+
+	for _, attr := range incentivizedPacketEvent.Attributes {
+		switch string(attr.Key) {
+		case types.AttributeKeyRecvFee:
+			suite.Require().Equal(expRecvFees.String(), string(attr.Value))
+
+		case types.AttributeKeyAckFee:
+			suite.Require().Equal(expAckFees.String(), string(attr.Value))
+
+		case types.AttributeKeyTimeoutFee:
+			suite.Require().Equal(expTimeoutFees.String(), string(attr.Value))
+		}
+	}
+
+	// send the same messages again a few times
+	for i := 0; i < 3; i++ {
+		expRecvFees.Add(fee.RecvFee...)
+		expAckFees.Add(fee.AckFee...)
+		expAckFees.Add(fee.TimeoutFee...)
+
+		result, err = suite.chainA.SendMsgs(msg)
+		suite.Require().NoError(err)
+	}
+
+	for _, event := range result.Events {
+		if event.Type == types.EventTypeIncentivizedPacket {
+			incentivizedPacketEvent = event
+		}
+	}
+
+	for _, attr := range incentivizedPacketEvent.Attributes {
+		switch string(attr.Key) {
+		case types.AttributeKeyRecvFee:
+			suite.Require().Equal(expRecvFees.String(), string(attr.Value))
+
+		case types.AttributeKeyAckFee:
+			suite.Require().Equal(expAckFees.String(), string(attr.Value))
+
+		case types.AttributeKeyTimeoutFee:
+			suite.Require().Equal(expTimeoutFees.String(), string(attr.Value))
+		}
+	}
+}