diff --git a/settings/src/main/scala/org/typelevel/sbt/TypelevelSettingsPlugin.scala b/settings/src/main/scala/org/typelevel/sbt/TypelevelSettingsPlugin.scala
index 37d08a26..97a8ee8d 100644
--- a/settings/src/main/scala/org/typelevel/sbt/TypelevelSettingsPlugin.scala
+++ b/settings/src/main/scala/org/typelevel/sbt/TypelevelSettingsPlugin.scala
@@ -71,12 +71,6 @@ object TypelevelSettingsPlugin extends AutoPlugin {
           Seq.empty
       }
     },
-    scalacOptions ++= {
-      if (tlFatalWarnings.value)
-        Seq("-Xfatal-warnings")
-      else
-        Seq.empty
-    },
     scalacOptions ++= {
       val warningsNsc = Seq("-Xlint", "-Ywarn-dead-code")
 
@@ -199,7 +193,16 @@ object TypelevelSettingsPlugin extends AutoPlugin {
       "-encoding",
       "utf8",
       "-Xlint:all"
-    ),
+    )
+  ) ++ inConfig(Compile)(perConfigSettings) ++ inConfig(Test)(perConfigSettings)
+
+  private val perConfigSettings = Seq(
+    scalacOptions ++= {
+      if (tlFatalWarnings.value)
+        Seq("-Xfatal-warnings")
+      else
+        Seq.empty
+    },
     javacOptions ++= {
       if (tlFatalWarnings.value)
         Seq("-Werror")