diff --git a/pyproject.toml b/pyproject.toml
index 665a83d81..b91a3568e 100644
--- a/pyproject.toml
+++ b/pyproject.toml
@@ -35,7 +35,7 @@ dependencies = [
     "bidict",
     "immutabledict",
     "loopy>=2020.2",
-    "pytools>=2024.1.14",
+    "pytools>=2024.1.21",
     "pymbolic>=2024.2",
     "typing_extensions>=4",
 ]
diff --git a/pytato/transform/metadata.py b/pytato/transform/metadata.py
index 130db8b7a..8cd520d94 100644
--- a/pytato/transform/metadata.py
+++ b/pytato/transform/metadata.py
@@ -716,11 +716,19 @@ def unify_axes_tags(
         equations_collector.equations
     )
 
-    for tag, var in equations_collector.known_tag_to_var.items():
-        if isinstance(tag, AxisIgnoredForPropagationTag):
-            continue
+    ignored_vars = set({
+        tag_var for tag, tag_var in equations_collector.known_tag_to_var.items()
+        if isinstance(tag, AxisIgnoredForPropagationTag)
+    })
+
+    ignored_vars.update({
+        ax_var for (ary, ax), ax_var in equations_collector.axis_to_var.items()
+        if ary.axes[ax].tags_of_type(AxisIgnoredForPropagationTag)
+    })
 
-        reachable_nodes = get_reachable_nodes(propagation_graph, var)
+    for tag, var in equations_collector.known_tag_to_var.items():
+        reachable_nodes = get_reachable_nodes(propagation_graph, var,
+                                              exclude_nodes=ignored_vars)
         for reachable_var in (reachable_nodes - known_tag_vars):
             axis_to_solved_tags.setdefault(
                 equations_collector.axis_to_var.inverse[reachable_var],
diff --git a/test/test_pytato.py b/test/test_pytato.py
index 38e2fda5e..45d333c32 100644
--- a/test/test_pytato.py
+++ b/test/test_pytato.py
@@ -1324,6 +1324,42 @@ def test_unify_axes_tags():
     # }}}
 
 
+def test_ignoring_axes_during_propagation():
+    from pytools.tag import UniqueTag
+
+    from pytato.transform.metadata import AxisIgnoredForPropagationTag
+
+    class ElementAxisTag(UniqueTag):
+        pass
+
+    class DOFAxisTagX(UniqueTag):
+        pass
+
+    class DOFAxisTagY(UniqueTag):
+        pass
+
+    a = pt.make_placeholder("a", (4, 4))
+    a = a.with_tagged_axis(0, AxisIgnoredForPropagationTag())
+    a = a.with_tagged_axis(1, AxisIgnoredForPropagationTag())
+
+    u = pt.make_placeholder("u", (128, 4, 4))
+    u = u.with_tagged_axis(0, ElementAxisTag())
+    u = u.with_tagged_axis(1, DOFAxisTagX())
+    u = u.with_tagged_axis(2, DOFAxisTagY())
+
+    u_x = pt.einsum("il,elj->eij", a, u)
+    u_y = pt.einsum("jl,eil->eij", a, u)
+
+    expr = u_x + u_y
+
+    unified = pt.unify_axes_tags(expr)
+    iax_to_tags = {i: unified.axes[i].tags for i in range(len(unified.axes))}
+
+    assert iax_to_tags[0] == frozenset([ElementAxisTag()])
+    assert iax_to_tags[1] == frozenset([DOFAxisTagX()])
+    assert iax_to_tags[2] == frozenset([DOFAxisTagY()])
+
+
 def test_rewrite_einsums_with_no_broadcasts():
     a = pt.make_placeholder("a", (10, 4, 1))
     b = pt.make_placeholder("b", (10, 1, 4))