diff --git a/metadata-ingestion/src/datahub/ingestion/source/dbt/dbt_common.py b/metadata-ingestion/src/datahub/ingestion/source/dbt/dbt_common.py
index 4cd3c934ce634..c95d0e545c598 100644
--- a/metadata-ingestion/src/datahub/ingestion/source/dbt/dbt_common.py
+++ b/metadata-ingestion/src/datahub/ingestion/source/dbt/dbt_common.py
@@ -1989,6 +1989,11 @@ def _translate_dbt_name_to_upstream_urn(dbt_name: str) -> str:
                 time=mce_builder.get_sys_time(),
                 actor=_DEFAULT_ACTOR,
             )
+            sibling_urn = node.get_urn(
+                self.config.target_platform,
+                self.config.env,
+                self.config.target_platform_instance,
+            )
             return UpstreamLineageClass(
                 upstreams=[
                     UpstreamClass(
@@ -1997,6 +2002,7 @@ def _translate_dbt_name_to_upstream_urn(dbt_name: str) -> str:
                         auditStamp=auditStamp,
                     )
                     for upstream in upstream_urns
+                    if not (node.node_type == "model" and upstream == sibling_urn)
                 ],
                 fineGrainedLineages=(
                     (cll or None) if self.config.include_column_lineage else None
diff --git a/metadata-ingestion/tests/unit/test_dbt_source.py b/metadata-ingestion/tests/unit/test_dbt_source.py
index 7d01ecd034523..f0d4c3408271f 100644
--- a/metadata-ingestion/tests/unit/test_dbt_source.py
+++ b/metadata-ingestion/tests/unit/test_dbt_source.py
@@ -10,6 +10,7 @@
 from datahub.ingestion.api.common import PipelineContext
 from datahub.ingestion.source.dbt import dbt_cloud
 from datahub.ingestion.source.dbt.dbt_cloud import DBTCloudConfig
+from datahub.ingestion.source.dbt.dbt_common import DBTNode
 from datahub.ingestion.source.dbt.dbt_core import (
     DBTCoreConfig,
     DBTCoreSource,
@@ -253,6 +254,47 @@ def test_dbt_config_prefer_sql_parser_lineage():
     assert config.prefer_sql_parser_lineage is True
 
 
+def test_dbt_prefer_sql_parser_lineage_no_self_reference():
+    ctx = PipelineContext(run_id="test-run-id")
+    config = DBTCoreConfig.parse_obj(
+        {
+            **create_base_dbt_config(),
+            "skip_sources_in_lineage": True,
+            "prefer_sql_parser_lineage": True,
+        }
+    )
+    source: DBTCoreSource = DBTCoreSource(config, ctx, "dbt")
+    all_nodes_map = {
+        "model1": DBTNode(
+            name="model1",
+            database=None,
+            schema=None,
+            alias=None,
+            comment="",
+            description="",
+            language=None,
+            raw_code=None,
+            dbt_adapter="postgres",
+            dbt_name="model1",
+            dbt_file_path=None,
+            dbt_package_name=None,
+            node_type="model",
+            materialization="table",
+            max_loaded_at=None,
+            catalog_type=None,
+            missing_from_catalog=False,
+            owner=None,
+            compiled_code="SELECT d FROM results WHERE d > (SELECT MAX(d) FROM model1)",
+        ),
+    }
+    source._infer_schemas_and_update_cll(all_nodes_map)
+    upstream_lineage = source._create_lineage_aspect_for_dbt_node(
+        all_nodes_map["model1"], all_nodes_map
+    )
+    assert upstream_lineage is not None
+    assert len(upstream_lineage.upstreams) == 1
+
+
 def test_dbt_s3_config():
     # test missing aws config
     config_dict: dict = {