diff --git a/scene/main/viewport.cpp b/scene/main/viewport.cpp
index 532b431b06b..fd87c172e14 100644
--- a/scene/main/viewport.cpp
+++ b/scene/main/viewport.cpp
@@ -1564,6 +1564,11 @@ bool Viewport::_gui_call_input(Control *p_control, const Ref<InputEvent> &p_inpu
 			}
 		}
 
+		if (is_input_handled()) {
+			// Break after Physics Picking in SubViewport.
+			break;
+		}
+
 		if (ci->is_set_as_top_level()) {
 			break;
 		}
@@ -3045,6 +3050,7 @@ void Viewport::push_unhandled_input(const Ref<InputEvent> &p_event, bool p_local
 
 						)) {
 			physics_picking_events.push_back(ev);
+			set_input_as_handled();
 		}
 	}
 }
diff --git a/tests/scene/test_text_edit.h b/tests/scene/test_text_edit.h
index f3f2b4cb342..67d473128ee 100644
--- a/tests/scene/test_text_edit.h
+++ b/tests/scene/test_text_edit.h
@@ -38,6 +38,7 @@
 namespace TestTextEdit {
 
 TEST_CASE("[SceneTree][TextEdit] text entry") {
+	SceneTree::get_singleton()->get_root()->set_physics_object_picking(false);
 	TextEdit *text_edit = memnew(TextEdit);
 	SceneTree::get_singleton()->get_root()->add_child(text_edit);
 	text_edit->grab_focus();