diff --git a/internal/consensus/state_test.go b/internal/consensus/state_test.go
index f1cfc225c..26d6b63d4 100644
--- a/internal/consensus/state_test.go
+++ b/internal/consensus/state_test.go
@@ -1965,6 +1965,81 @@ func TestProcessProposalAccept(t *testing.T) {
 	}
 }
 
+func TestFinalizeBlockCalled(t *testing.T) {
+	for _, testCase := range []struct {
+		name         string
+		voteNil      bool
+		expectCalled bool
+	}{
+		{
+			name:         "finalze block called when block commited",
+			voteNil:      false,
+			expectCalled: true,
+		},
+		{
+			name:         "not called when block not commited",
+			voteNil:      true,
+			expectCalled: false,
+		},
+	} {
+		t.Run(testCase.name, func(t *testing.T) {
+			config := configSetup(t)
+			ctx, cancel := context.WithCancel(context.Background())
+			defer cancel()
+
+			m := abcimocks.NewBaseMock()
+			m.On("ProcessProposal", mock.Anything).Return(abcitypes.ResponseProcessProposal{Accept: true})
+			m.On("VerifyVoteExtension", mock.Anything).Return(abcitypes.ResponseVerifyVoteExtension{
+				Result: abcitypes.ResponseVerifyVoteExtension_ACCEPT,
+			})
+			if testCase.expectCalled {
+				m.On("FinalizeBlock", mock.Anything).Return(abcitypes.ResponseFinalizeBlock{})
+			}
+			cs1, vss := makeState(ctx, t, makeStateArgs{config: config, application: m, logger: log.NewTestingLogger(t)})
+			height, round := cs1.Height, cs1.Round
+
+			proposalCh := subscribe(ctx, t, cs1.eventBus, types.EventQueryCompleteProposal)
+			newRoundCh := subscribe(ctx, t, cs1.eventBus, types.EventQueryNewRound)
+			pv1, err := cs1.privValidator.GetPubKey(ctx)
+			require.NoError(t, err)
+			addr := pv1.Address()
+			voteCh := subscribeToVoter(ctx, t, cs1, addr)
+
+			startTestRound(ctx, cs1, cs1.Height, round)
+			ensureNewRound(t, newRoundCh, height, round)
+			ensureNewProposal(t, proposalCh, height, round)
+			rs := cs1.GetRoundState()
+
+			blockID := types.BlockID{}
+			var polRound int32 = -1
+			nextRound := round + 1
+			nextHeight := height
+			if !testCase.voteNil {
+				polRound = 0
+				nextRound = 0
+				nextHeight = height + 1
+				blockID = types.BlockID{
+					Hash:          rs.ProposalBlock.Hash(),
+					PartSetHeader: rs.ProposalBlockParts.Header(),
+				}
+			}
+
+			signAddVotes(ctx, t, cs1, tmproto.PrevoteType, config.ChainID(), blockID, vss[1:]...)
+			ensurePrevoteMatch(t, voteCh, height, round, rs.ProposalBlock.Hash())
+
+			signAddVotes(ctx, t, cs1, tmproto.PrecommitType, config.ChainID(), blockID, vss[1:]...)
+			ensurePrecommit(t, voteCh, height, round)
+			validatePrecommit(ctx, t, cs1, round, polRound, vss[0], blockID.Hash, blockID.Hash)
+
+			ensureNewRound(t, newRoundCh, nextHeight, nextRound)
+			m.AssertExpectations(t)
+			if testCase.voteNil {
+				m.AssertNotCalled(t, "FinalizeBlock", mock.Anything)
+			}
+		})
+	}
+}
+
 // 4 vals, 3 Nil Precommits at P0
 // What we want:
 // P0 waits for timeoutPrecommit before starting next round