diff --git a/testing/simapp/app.go b/testing/simapp/app.go
index 843f8071907..702531b4996 100644
--- a/testing/simapp/app.go
+++ b/testing/simapp/app.go
@@ -112,6 +112,7 @@ import (
 	ibcmock "github.com/cosmos/ibc-go/v6/testing/mock"
 	simappparams "github.com/cosmos/ibc-go/v6/testing/simapp/params"
 	simappupgrades "github.com/cosmos/ibc-go/v6/testing/simapp/upgrades"
+	v6 "github.com/cosmos/ibc-go/v6/testing/simapp/upgrades/v6"
 	ibctestingtypes "github.com/cosmos/ibc-go/v6/testing/types"
 )
 
@@ -870,4 +871,20 @@ func (app *SimApp) setupUpgradeHandlers() {
 		simappupgrades.DefaultUpgradeName,
 		simappupgrades.CreateDefaultUpgradeHandler(app.mm, app.configurator),
 	)
+
+	// NOTE: The moduleName arg of v6.CreateUpgradeHandler refers to the auth module ScopedKeeper name to which the channel capability should be migrated from.
+	// This should be the same string value provided upon instantiation of the ScopedKeeper with app.CapabilityKeeper.ScopeToModule()
+	// TODO: update git tag in link below
+	// See: https://github.com/cosmos/ibc-go/blob/v5.0.0-rc2/testing/simapp/app.go#L304
+	app.UpgradeKeeper.SetUpgradeHandler(
+		v6.UpgradeName,
+		v6.CreateUpgradeHandler(
+			app.mm,
+			app.configurator,
+			app.appCodec,
+			app.keys[capabilitytypes.ModuleName],
+			app.CapabilityKeeper,
+			ibcmock.ModuleName+icacontrollertypes.SubModuleName,
+		),
+	)
 }
diff --git a/testing/simapp/upgrades/v6/upgrades.go b/testing/simapp/upgrades/v6/upgrades.go
new file mode 100644
index 00000000000..9a3b5780562
--- /dev/null
+++ b/testing/simapp/upgrades/v6/upgrades.go
@@ -0,0 +1,36 @@
+package v6
+
+import (
+	"github.com/cosmos/cosmos-sdk/codec"
+	storetypes "github.com/cosmos/cosmos-sdk/store/types"
+	sdk "github.com/cosmos/cosmos-sdk/types"
+	"github.com/cosmos/cosmos-sdk/types/module"
+	capabilitykeeper "github.com/cosmos/cosmos-sdk/x/capability/keeper"
+	upgradetypes "github.com/cosmos/cosmos-sdk/x/upgrade/types"
+
+	v6 "github.com/cosmos/ibc-go/v6/modules/apps/27-interchain-accounts/controller/migrations/v6"
+)
+
+const (
+	// UpgradeName defines the on-chain upgrade name for the SimApp v6 upgrade.
+	UpgradeName = "v6"
+)
+
+// CreateUpgradeHandler creates an upgrade handler for the v6 SimApp upgrade.
+// NOTE: The v6.MigrateICS27ChannelCapabiliity function can be omitted if chains do not yet implement an ICS27 controller module
+func CreateUpgradeHandler(
+	mm *module.Manager,
+	configurator module.Configurator,
+	cdc codec.BinaryCodec,
+	capabilityStoreKey *storetypes.KVStoreKey,
+	capabilityKeeper *capabilitykeeper.Keeper,
+	moduleName string,
+) upgradetypes.UpgradeHandler {
+	return func(ctx sdk.Context, _ upgradetypes.Plan, vm module.VersionMap) (module.VersionMap, error) {
+		if err := v6.MigrateICS27ChannelCapability(ctx, cdc, capabilityStoreKey, capabilityKeeper, moduleName); err != nil {
+			return nil, err
+		}
+
+		return mm.RunMigrations(ctx, configurator, vm)
+	}
+}