diff --git a/tests/pytorch/test_sanity.py b/tests/pytorch/test_sanity.py
index 27eafbecdc..404fae85fd 100644
--- a/tests/pytorch/test_sanity.py
+++ b/tests/pytorch/test_sanity.py
@@ -598,7 +598,8 @@ def test_sanity_grouped_linear(
     # Small batch size used to catch bug from https://github.com/NVIDIA/TransformerEngine/pull/1527.
     bs = bs * 16
     num_tokens = bs * config.max_seqlen_q * (num_gemms - 1)
-
+    if os.environ.get("NVTE_GROUPED_LINEAR_SINGLE_PARAM", "0") == "0" and single_param:
+        pytest.skip("single parameter grouped linear requires NVTE_GROUPED_LINEAR_SINGLE_PARAM=1")
     skip_unsupported_backward_override("grouped_linear", fp8_recipe, backward_override)
     if fp8_recipe is not None:
         fp8_recipe = copy.deepcopy(fp8_recipe)