diff --git a/Jenkinsfile b/Jenkinsfile
index d5c8db5e3e..1f7bccfff3 100644
--- a/Jenkinsfile
+++ b/Jenkinsfile
@@ -2,4 +2,4 @@
 neoDependenciesRev='716918-671'
 strategy='EQUAL'
 allowedF=49
-allowedCD=381
+allowedCD=380
diff --git a/runtime/command_queue/command_queue.cpp b/runtime/command_queue/command_queue.cpp
index d95c0ecea3..bf0bb689b6 100644
--- a/runtime/command_queue/command_queue.cpp
+++ b/runtime/command_queue/command_queue.cpp
@@ -164,7 +164,7 @@ bool CommandQueue::isQueueBlocked() {
     TakeOwnershipWrapper<CommandQueue> takeOwnershipWrapper(*this);
     //check if we have user event and if so, if it is in blocked state.
     if (this->virtualEvent) {
-        if (this->virtualEvent->peekIsCompleted()) {
+        if (this->virtualEvent->peekExecutionStatus() <= CL_COMPLETE) {
             UNRECOVERABLE_IF(this->virtualEvent == nullptr);
 
             if (this->virtualEvent->peekIsCompletedByTermination() == false) {
diff --git a/runtime/event/event.cpp b/runtime/event/event.cpp
index 5590cf34a9..ef2be22092 100644
--- a/runtime/event/event.cpp
+++ b/runtime/event/event.cpp
@@ -534,7 +534,11 @@ inline void Event::unblockEventBy(Event &event, uint32_t taskLevel, int32_t tran
     }
     DBG_LOG(EventsDebugEnable, "Event", this, "is unblocked by", &event);
 
-    this->taskLevel = taskLevel;
+    if (this->taskLevel == Event::eventNotReady) {
+        this->taskLevel = taskLevel;
+    } else {
+        this->taskLevel = std::max(this->taskLevel.load(), taskLevel);
+    }
 
     int32_t statusToPropagate = CL_SUBMITTED;
     if (peekIsCompletedByTermination(&blockerStatus)) {
diff --git a/unit_tests/command_queue/command_queue_hw_tests.cpp b/unit_tests/command_queue/command_queue_hw_tests.cpp
index 7f23463269..695e6fd591 100644
--- a/unit_tests/command_queue/command_queue_hw_tests.cpp
+++ b/unit_tests/command_queue/command_queue_hw_tests.cpp
@@ -723,7 +723,6 @@ HWTEST_F(CommandQueueHwTest, givenBlockedInOrderCmdQueueAndAsynchronouslyComplet
     };
 
     Event event(cmdQHw, CL_COMMAND_NDRANGE_KERNEL, 10, 0);
-    event.setStatus(CL_SUBMITTED);
 
     uint32_t virtualEventTaskLevel = 77;
     uint32_t virtualEventTaskCount = 80;
@@ -734,16 +733,24 @@ HWTEST_F(CommandQueueHwTest, givenBlockedInOrderCmdQueueAndAsynchronouslyComplet
 
     // Put Queue in blocked state by assigning virtualEvent
     virtualEvent.incRefInternal();
+    event.addChild(virtualEvent);
     cmdQHw->virtualEvent = &virtualEvent;
     cmdQHw->incRefInternal();
 
     cmdQHw->taskLevel = 23;
     cmdQHw->enqueueKernel(mockKernel, 1, &offset, &size, &size, 1, &blockedEvent, nullptr);
+    //new virtual event is created on enqueue, bind it to the created virtual event
+    EXPECT_NE(cmdQHw->virtualEvent, &virtualEvent);
 
+    event.setStatus(CL_SUBMITTED);
+
+    virtualEvent.Event::updateExecutionStatus();
+    EXPECT_FALSE(cmdQHw->isQueueBlocked());
     // +1 for next level after virtualEvent is unblocked
-    // +1 for dependence on eventWaitlist
+    // +1 as virtualEvent was a parent for event with actual command that is being submitted
     EXPECT_EQ(virtualEventTaskLevel + 2, cmdQHw->taskLevel);
-    EXPECT_EQ(virtualEventTaskLevel + 2, mockCSR->lastTaskLevelToFlushTask);
+    //command being submitted was dependant only on virtual event hence only +1
+    EXPECT_EQ(virtualEventTaskLevel + 1, mockCSR->lastTaskLevelToFlushTask);
 }
 
 HWTEST_F(OOQueueHwTest, givenBlockedOutOfOrderCmdQueueAndAsynchronouslyCompletedEventWhenEnqueueCompletesVirtualEventThenUpdatedTaskLevelIsPassedToEnqueueAndFlushTask) {
@@ -769,7 +776,6 @@ HWTEST_F(OOQueueHwTest, givenBlockedOutOfOrderCmdQueueAndAsynchronouslyCompleted
     };
 
     Event event(cmdQHw, CL_COMMAND_NDRANGE_KERNEL, 10, 0);
-    event.setStatus(CL_SUBMITTED);
 
     uint32_t virtualEventTaskLevel = 77;
     uint32_t virtualEventTaskCount = 80;
@@ -780,12 +786,22 @@ HWTEST_F(OOQueueHwTest, givenBlockedOutOfOrderCmdQueueAndAsynchronouslyCompleted
 
     // Put Queue in blocked state by assigning virtualEvent
     virtualEvent.incRefInternal();
+    event.addChild(virtualEvent);
     cmdQHw->virtualEvent = &virtualEvent;
     cmdQHw->incRefInternal();
 
     cmdQHw->taskLevel = 23;
     cmdQHw->enqueueKernel(mockKernel, 1, &offset, &size, &size, 1, &blockedEvent, nullptr);
+    //new virtual event is created on enqueue, bind it to the created virtual event
+    EXPECT_NE(cmdQHw->virtualEvent, &virtualEvent);
 
-    EXPECT_EQ(virtualEventTaskLevel, cmdQHw->taskLevel);
-    EXPECT_EQ(virtualEventTaskLevel, mockCSR->lastTaskLevelToFlushTask);
+    event.setStatus(CL_SUBMITTED);
+
+    virtualEvent.Event::updateExecutionStatus();
+    EXPECT_FALSE(cmdQHw->isQueueBlocked());
+
+    //+1 due to dependency between virtual event & new virtual event
+    //new virtual event is actually responsible for command delivery
+    EXPECT_EQ(virtualEventTaskLevel + 1, cmdQHw->taskLevel);
+    EXPECT_EQ(virtualEventTaskLevel + 1, mockCSR->lastTaskLevelToFlushTask);
 }
diff --git a/unit_tests/event/user_events_tests.cpp b/unit_tests/event/user_events_tests.cpp
index 096561f60f..7a21841249 100644
--- a/unit_tests/event/user_events_tests.cpp
+++ b/unit_tests/event/user_events_tests.cpp
@@ -373,6 +373,22 @@ TEST_F(EventTests, twoUserEventInjectsCountOnNDR1whichIsPropagatedToNDR2viaVirtu
     EXPECT_EQ(CL_SUCCESS, retVal);
 }
 
+TEST_F(EventTests, givenQueueThatIsBlockedByUserEventWhenIsQueueBlockedIsCalledThenVirtualEventOnlyQueriesForExecutionStatus) {
+    struct mockEvent : public Event {
+        using Event::Event;
+        void updateExecutionStatus() override {
+            updateExecutionStatusCalled = true;
+        }
+        bool updateExecutionStatusCalled = false;
+    };
+    mockEvent mockedVirtualEvent(pCmdQ, CL_COMMAND_NDRANGE_KERNEL, Event::eventNotReady, 0);
+    pCmdQ->virtualEvent = &mockedVirtualEvent;
+
+    EXPECT_TRUE(pCmdQ->isQueueBlocked());
+    EXPECT_FALSE(mockedVirtualEvent.updateExecutionStatusCalled);
+    pCmdQ->virtualEvent = nullptr;
+}
+
 TEST_F(EventTests, finishDoesntBlockAfterUserEventSignaling) {
     UserEvent uEvent(context);
     UserEvent uEvent2(context);