diff --git a/changelogs/fragments/ansible-test-submodules.yml b/changelogs/fragments/ansible-test-submodules.yml
new file mode 100644
index 00000000000..507fa7cfbb8
--- /dev/null
+++ b/changelogs/fragments/ansible-test-submodules.yml
@@ -0,0 +1,2 @@
+bugfixes:
+    - ansible-test now correctly enumerates submodules when a collection resides below the repository root
diff --git a/test/lib/ansible_test/_internal/git.py b/test/lib/ansible_test/_internal/git.py
index ae2388b452f..b7bb3339e93 100644
--- a/test/lib/ansible_test/_internal/git.py
+++ b/test/lib/ansible_test/_internal/git.py
@@ -39,7 +39,7 @@ class Git:
 
     def get_submodule_paths(self):  # type: () -> t.List[str]
         """Return a list of submodule paths recursively."""
-        cmd = ['submodule', 'status', '--recursive']
+        cmd = ['submodule', 'status', '--recursive', '.']
         output = self.run_git_split(cmd, '\n')
         submodule_paths = [re.search(r'^.[0-9a-f]+ (?P<path>[^ ]+)', line).group('path') for line in output]
         return submodule_paths