diff --git a/agent/consul/state/catalog.go b/agent/consul/state/catalog.go
index 2e1a7099ae..65bf8d7062 100644
--- a/agent/consul/state/catalog.go
+++ b/agent/consul/state/catalog.go
@@ -3039,6 +3039,30 @@ func (s *Store) VirtualIPForService(psn structs.PeeredServiceName) (string, erro
 	return result.String(), nil
 }
 
+func (s *Store) ServiceVirtualIPs() (uint64, []ServiceVirtualIP, error) {
+	tx := s.db.Txn(false)
+	defer tx.Abort()
+
+	return servicesVirtualIPsTxn(tx)
+}
+
+func servicesVirtualIPsTxn(tx ReadTxn) (uint64, []ServiceVirtualIP, error) {
+	iter, err := tx.Get(tableServiceVirtualIPs, indexID)
+	if err != nil {
+		return 0, nil, err
+	}
+
+	var vips []ServiceVirtualIP
+	for raw := iter.Next(); raw != nil; raw = iter.Next() {
+		vip := raw.(ServiceVirtualIP)
+		vips = append(vips, vip)
+	}
+
+	idx := maxIndexWatchTxn(tx, nil, tableServiceVirtualIPs)
+
+	return idx, vips, nil
+}
+
 func (s *Store) ServiceManualVIPs(psn structs.PeeredServiceName) (*ServiceVirtualIP, error) {
 	tx := s.db.Txn(false)
 	defer tx.Abort()
diff --git a/agent/consul/state/intention.go b/agent/consul/state/intention.go
index 9548c4eb85..3212b20389 100644
--- a/agent/consul/state/intention.go
+++ b/agent/consul/state/intention.go
@@ -1063,12 +1063,40 @@ func (s *Store) intentionTopologyTxn(
 	//				 Ideally those should be excluded as well, since they can't be upstreams/downstreams without a proxy.
 	//				 Maybe narrow serviceNamesOfKindTxn to services represented by proxies? (ingress, sidecar-
 	wildcardMeta := structs.WildcardEnterpriseMetaInPartition(structs.WildcardSpecifier)
-	var services []*KindServiceName
+
+	services := make(map[structs.ServiceName]struct{})
+	addSvcs := func(svcs []*KindServiceName) {
+		for _, s := range svcs {
+			services[s.Service] = struct{}{}
+		}
+	}
+
+	var tempServices []*KindServiceName
 	if intentionTarget == structs.IntentionTargetService {
-		index, services, err = serviceNamesOfKindTxn(tx, ws, structs.ServiceKindTypical, *wildcardMeta)
+		index, tempServices, err = serviceNamesOfKindTxn(tx, ws, structs.ServiceKindTypical, *wildcardMeta)
+		if err != nil {
+			return index, nil, fmt.Errorf("failed to list service names: %v", err)
+		}
+		addSvcs(tempServices)
+
+		// Query the virtual ip table as well to include virtual services that don't have a registered instance yet.
+		vipIndex, vipServices, err := servicesVirtualIPsTxn(tx)
+		if err != nil {
+			return index, nil, fmt.Errorf("failed to list service virtual IPs: %v", err)
+		}
+		for _, svc := range vipServices {
+			services[svc.Service.ServiceName] = struct{}{}
+		}
+		if vipIndex > index {
+			index = vipIndex
+		}
 	} else {
 		// destinations can only ever be upstream, since they are only allowed as intention destination.
-		index, services, err = serviceNamesOfKindTxn(tx, ws, structs.ServiceKindDestination, *wildcardMeta)
+		index, tempServices, err = serviceNamesOfKindTxn(tx, ws, structs.ServiceKindDestination, *wildcardMeta)
+		if err != nil {
+			return index, nil, fmt.Errorf("failed to list destination service names: %v", err)
+		}
+		addSvcs(tempServices)
 	}
 	if err != nil {
 		return index, nil, fmt.Errorf("failed to list ingress service names: %v", err)
@@ -1086,7 +1114,7 @@ func (s *Store) intentionTopologyTxn(
 		if index > maxIdx {
 			maxIdx = index
 		}
-		services = append(services, ingress...)
+		addSvcs(ingress)
 	}
 
 	// When checking authorization to upstreams, the match type for the decision is `destination` because we are deciding
@@ -1097,8 +1125,7 @@ func (s *Store) intentionTopologyTxn(
 		decisionMatchType = structs.IntentionMatchSource
 	}
 	result := make([]ServiceWithDecision, 0, len(services))
-	for _, svc := range services {
-		candidate := svc.Service
+	for candidate := range services {
 		if candidate.Name == structs.ConsulServiceName {
 			continue
 		}
diff --git a/agent/consul/state/intention_test.go b/agent/consul/state/intention_test.go
index 297fcd9502..34343b145a 100644
--- a/agent/consul/state/intention_test.go
+++ b/agent/consul/state/intention_test.go
@@ -2161,6 +2161,7 @@ func TestStore_IntentionTopology(t *testing.T) {
 		name            string
 		defaultDecision acl.EnforcementDecision
 		intentions      []structs.ServiceIntentionsConfigEntry
+		discoveryChains []structs.ConfigEntry
 		target          structs.ServiceName
 		downstreams     bool
 		expect          expect
@@ -2192,6 +2193,68 @@ func TestStore_IntentionTopology(t *testing.T) {
 				},
 			},
 		},
+		{
+			name:            "(upstream) acl allow includes virtual service",
+			defaultDecision: acl.Allow,
+			discoveryChains: []structs.ConfigEntry{
+				&structs.ServiceResolverConfigEntry{
+					Kind: structs.ServiceResolver,
+					Name: "backend",
+				},
+			},
+			target:      structs.NewServiceName("web", nil),
+			downstreams: false,
+			expect: expect{
+				idx: 10,
+				services: structs.ServiceList{
+					{
+						Name:           "api",
+						EnterpriseMeta: *structs.DefaultEnterpriseMetaInDefaultPartition(),
+					},
+					{
+						Name:           "backend",
+						EnterpriseMeta: *structs.DefaultEnterpriseMetaInDefaultPartition(),
+					},
+					{
+						Name:           "mysql",
+						EnterpriseMeta: *structs.DefaultEnterpriseMetaInDefaultPartition(),
+					},
+				},
+			},
+		},
+		{
+			name:            "(upstream) acl deny all intentions allow virtual service",
+			defaultDecision: acl.Deny,
+			discoveryChains: []structs.ConfigEntry{
+				&structs.ServiceResolverConfigEntry{
+					Kind: structs.ServiceResolver,
+					Name: "backend",
+				},
+			},
+			intentions: []structs.ServiceIntentionsConfigEntry{
+				{
+					Kind: structs.ServiceIntentions,
+					Name: "backend",
+					Sources: []*structs.SourceIntention{
+						{
+							Name:   "web",
+							Action: structs.IntentionActionAllow,
+						},
+					},
+				},
+			},
+			target:      structs.NewServiceName("web", nil),
+			downstreams: false,
+			expect: expect{
+				idx: 11,
+				services: structs.ServiceList{
+					{
+						Name:           "backend",
+						EnterpriseMeta: *structs.DefaultEnterpriseMetaInDefaultPartition(),
+					},
+				},
+			},
+		},
 		{
 			name:            "(upstream) acl deny all intentions allow one",
 			defaultDecision: acl.Deny,
@@ -2378,6 +2441,10 @@ func TestStore_IntentionTopology(t *testing.T) {
 				require.NoError(t, s.EnsureConfigEntry(idx, &ixn))
 				idx++
 			}
+			for _, entry := range tt.discoveryChains {
+				require.NoError(t, s.EnsureConfigEntry(idx, entry))
+				idx++
+			}
 
 			idx, got, err := s.IntentionTopology(nil, tt.target, tt.downstreams, tt.defaultDecision, structs.IntentionTargetService)
 			require.NoError(t, err)