diff --git a/docs/generated/devkit/TargetConfiguration.md b/docs/generated/devkit/TargetConfiguration.md
index 251878c7850c0..20d8f68ceac5d 100644
--- a/docs/generated/devkit/TargetConfiguration.md
+++ b/docs/generated/devkit/TargetConfiguration.md
@@ -12,6 +12,7 @@ Target's configuration
 
 ### Properties
 
+- [cache](../../devkit/documents/TargetConfiguration#cache): boolean
 - [command](../../devkit/documents/TargetConfiguration#command): string
 - [configurations](../../devkit/documents/TargetConfiguration#configurations): Object
 - [defaultConfiguration](../../devkit/documents/TargetConfiguration#defaultconfiguration): string
@@ -23,6 +24,14 @@ Target's configuration
 
 ## Properties
 
+### cache
+
+• `Optional` **cache**: `boolean`
+
+Determines if Nx is able to cache a given target.
+
+---
+
 ### command
 
 • `Optional` **command**: `string`
diff --git a/docs/generated/devkit/TargetDefaults.md b/docs/generated/devkit/TargetDefaults.md
index 6bb0ccfefcdc0..56198a1e8a837 100644
--- a/docs/generated/devkit/TargetDefaults.md
+++ b/docs/generated/devkit/TargetDefaults.md
@@ -1,3 +1,3 @@
 # Type alias: TargetDefaults
 
-Ƭ **TargetDefaults**: `Record`<`string`, `Partial`<[`TargetConfiguration`](../../devkit/documents/TargetConfiguration)\> & { `cache?`: `boolean` }\>
+Ƭ **TargetDefaults**: `Record`<`string`, `Partial`<[`TargetConfiguration`](../../devkit/documents/TargetConfiguration)\>\>
diff --git a/packages/nx/schemas/project-schema.json b/packages/nx/schemas/project-schema.json
index 0ef64a6417d4f..ece8fde307032 100644
--- a/packages/nx/schemas/project-schema.json
+++ b/packages/nx/schemas/project-schema.json
@@ -108,6 +108,10 @@
           "command": {
             "type": "string",
             "description": "A shorthand for using the nx:run-commands executor"
+          },
+          "cache": {
+            "type": "boolean",
+            "description": "Specifies if the given target should be cacheable"
           }
         }
       }
diff --git a/packages/nx/schemas/workspace-schema.json b/packages/nx/schemas/workspace-schema.json
index 3b31a61fd6f0c..2cd72f6d94098 100644
--- a/packages/nx/schemas/workspace-schema.json
+++ b/packages/nx/schemas/workspace-schema.json
@@ -118,6 +118,10 @@
                           "command": {
                             "type": "string",
                             "description": "A shorthand for using the nx:run-commands executor"
+                          },
+                          "cache": {
+                            "type": "boolean",
+                            "description": "Specifies if the given target should be cacheable"
                           }
                         }
                       }
diff --git a/packages/nx/src/config/nx-json.ts b/packages/nx/src/config/nx-json.ts
index c1c1504afbf79..1abe6235872a6 100644
--- a/packages/nx/src/config/nx-json.ts
+++ b/packages/nx/src/config/nx-json.ts
@@ -25,16 +25,7 @@ export interface NxAffectedConfig {
   defaultBase?: string;
 }
 
-export type TargetDefaults = Record<
-  string,
-  Partial<TargetConfiguration> & {
-    /**
-     * Determines if Nx is able to cache a given target.
-     * Currently only supported in `targetDefaults`.
-     */
-    cache?: boolean;
-  }
->;
+export type TargetDefaults = Record<string, Partial<TargetConfiguration>>;
 
 export type TargetDependencies = Record<
   string,
diff --git a/packages/nx/src/config/workspace-json-project-json.ts b/packages/nx/src/config/workspace-json-project-json.ts
index 86a2904908a1f..f2e150cb96327 100644
--- a/packages/nx/src/config/workspace-json-project-json.ts
+++ b/packages/nx/src/config/workspace-json-project-json.ts
@@ -181,4 +181,9 @@ export interface TargetConfiguration<T = any> {
    * A default named configuration to use when a target configuration is not provided.
    */
   defaultConfiguration?: string;
+
+  /**
+   * Determines if Nx is able to cache a given target.
+   */
+  cache?: boolean;
 }
diff --git a/packages/nx/src/tasks-runner/utils.ts b/packages/nx/src/tasks-runner/utils.ts
index d709a094d0b82..aa56a6c71e06f 100644
--- a/packages/nx/src/tasks-runner/utils.ts
+++ b/packages/nx/src/tasks-runner/utils.ts
@@ -352,11 +352,7 @@ export function isCacheableTask(
     cacheableTargets?: string[] | null;
   }
 ): boolean {
-  if (
-    task.cache !== undefined &&
-    process.env.NX_ALLOW_PROJECT_LEVEL_CACHE === 'true' &&
-    !longRunningTask(task)
-  ) {
+  if (task.cache !== undefined && !longRunningTask(task)) {
     return task.cache;
   }