diff --git a/docs/zh_cn/acceleration/train_extreme_long_sequence.rst b/docs/zh_cn/acceleration/train_extreme_long_sequence.rst
index 65b364ad8..89efcaa3f 100644
--- a/docs/zh_cn/acceleration/train_extreme_long_sequence.rst
+++ b/docs/zh_cn/acceleration/train_extreme_long_sequence.rst
@@ -219,7 +219,7 @@ XTuner 中的序列并行设计思路参考了 DeepSpeed 的工作 `DeepSpeed Ul
 - 适配序列并行的 Data Sampler (SequenceParallelSampler)
 - 数据 Pad 与切分 (pad_for_sequence_parallel, split_for_sequence_parallel)
 - 适配序列并行的 Attention (dispatch_modules)
-- reduce loss 以正确打印训练损失 (reduce_sequence_parallel_loss)
+- rescale loss 使得在使用序列并行时 backward 梯度与数据并行 (DP) 保持一致 (rescale_sp_loss)
 
 分布式环境初始化
 -------------------
@@ -303,20 +303,16 @@ XTuner 提供了 dispatch_modules 接口以支持修改模型 Attention 的计
 .. tip::
   上述过程在 ``xtuner/model/sft.py`` 中实现。
 
-Reduce Loss
+Rescale Loss
 -------------
 
-这个 API 对于保证训练的正确性不是必须的，但对于观测模型训练状态，打印训练 loss 是非常有用的。
+由于不同的 sp rank 上计算 loss 的 tokens 数量各不相同，因此在数据并行 (DP) 梯度同步过程中，简单的不同 rank 的梯度取平均对于序列并行 (SP) 是不合理的。XTuner 提供 `rescale_sp_loss` API 来确保序列并行场景与数据并行场景的参数梯度保持一致。
 
 .. code-block:: python
 
-    from xtuner.parallel.sequence import reduce_sequence_parallel_loss
+    from xtuner.parallel.sequence import rescale_sp_loss, get_sequence_parallel_group
     outputs = llm(input_ids=input_ids, labels=labels, **kwargs)
-    num_tokens_per_rank = (labels != -100).sum()
-    # Suppose sequence parallel world size equals to 4,
-    # losses on rank0, rank1, rank2, rank3 are different.
-    loss = reduce_sequence_parallel_loss(outputs.loss, num_tokens_per_rank)
-    # After loss reduction, losses on rank0, rank1, rank2, rank3 are the same.
+    rescaled_loss = rescale_sp_loss(outputs.loss, labels, sp_group)
 
 .. tip::
   上述过程在 ``xtuner/model/sft.py`` 中实现。
diff --git a/docs/zh_cn/user_guides/sequence_parallel.md b/docs/zh_cn/user_guides/sequence_parallel.md
index ce4beed64..f3c9c72c1 100644
--- a/docs/zh_cn/user_guides/sequence_parallel.md
+++ b/docs/zh_cn/user_guides/sequence_parallel.md
@@ -95,7 +95,7 @@ model = dict(
 - 数据 Pad (pad_for_sequence_parallel)
 - 数据切分 (split_for_sequence_parallel)
 - 适配序列并行的 Attention (dispatch_modules)
-- reduce loss 以正确打印训练损失 (reduce_sequence_parallel_loss)
+- rescale loss 使得在使用序列并行时 backward 梯度与数据并行 (DP) 保持一致 (rescale_sp_loss)
 
 ### 序列并行分布式环境初始化
 
@@ -176,16 +176,12 @@ dispatch_modules(model)
 
 ### Reduce Loss 以正确打印训练损失
 
-这个 API 对于保证训练的正确性不是必须的，但对于观测模型训练状态，打印训练 loss 是非常有用的。
+由于不同的 sp rank 上计算 loss 的 tokens 数量各不相同，因此在数据并行 (DP) 梯度同步过程中，简单的不同 rank 的梯度取平均对于序列并行 (SP) 是不合理的。XTuner 提供 `rescale_sp_loss` API 来确保序列并行场景与数据并行场景的参数梯度保持一致。
 
 ```python
-from xtuner.parallel.sequence import reduce_sequence_parallel_loss
+from xtuner.parallel.sequence import rescale_sp_loss, get_sequence_parallel_group
 outputs = llm(input_ids=input_ids, labels=labels, **kwargs)
-num_tokens_per_rank = (labels != -100).sum()
-# Suppose sequence parallel world size equals to 4,
-# losses on rank0, rank1, rank2, rank3 are different.
-loss = reduce_sequence_parallel_loss(outputs.loss, num_tokens_per_rank)
-# After loss reduction, losses on rank0, rank1, rank2, rank3 are the same.
+rescaled_loss = rescale_sp_loss(outputs.loss, labels, sp_group)
 ```
 
 上述过程在 xtuner/model/sft.py 中实现。
diff --git a/xtuner/configs/internlm/internlm2_5_chat_20b/internlm2_5_chat_20b_alpaca_e3.py b/xtuner/configs/internlm/internlm2_5_chat_20b/internlm2_5_chat_20b_alpaca_e3.py
index f67fc1a22..c8dc9e8f3 100644
--- a/xtuner/configs/internlm/internlm2_5_chat_20b/internlm2_5_chat_20b_alpaca_e3.py
+++ b/xtuner/configs/internlm/internlm2_5_chat_20b/internlm2_5_chat_20b_alpaca_e3.py
@@ -1,14 +1,11 @@
 # Copyright (c) OpenMMLab. All rights reserved.
-import torch
 from datasets import load_dataset
 from mmengine.dataset import DefaultSampler
 from mmengine.hooks import (CheckpointHook, DistSamplerSeedHook, IterTimerHook,
                             LoggerHook, ParamSchedulerHook)
 from mmengine.optim import AmpOptimWrapper, CosineAnnealingLR, LinearLR
-from peft import LoraConfig
 from torch.optim import AdamW
-from transformers import (AutoModelForCausalLM, AutoTokenizer,
-                          BitsAndBytesConfig)
+from transformers import AutoModelForCausalLM, AutoTokenizer
 
 from xtuner.dataset import process_hf_dataset
 from xtuner.dataset.collate_fns import default_collate_fn
diff --git a/xtuner/model/sft.py b/xtuner/model/sft.py
index 522950489..eb4128e22 100644
--- a/xtuner/model/sft.py
+++ b/xtuner/model/sft.py
@@ -15,7 +15,8 @@
 
 from xtuner.parallel.sequence import (get_sequence_parallel_group,
                                       get_sequence_parallel_world_size,
-                                      reduce_sequence_parallel_loss,
+                                      reduce_sp_loss_for_debug,
+                                      rescale_sp_loss,
                                       split_for_sequence_parallel)
 from xtuner.registry import BUILDER
 from .modules import dispatch_modules
@@ -79,7 +80,6 @@ def __init__(self,
                  tokenizer=None,
                  max_position_embeddings=None):
         super().__init__()
-
         self.llm = self.build_llm_from_cfg(llm, use_varlen_attn,
                                            max_position_embeddings)
 
@@ -88,7 +88,6 @@ def __init__(self,
                 tokenizer = BUILDER.build(tokenizer)
             smart_tokenizer_and_embedding_resize(tokenizer, self.llm)
 
-        self.llm.config.use_cache = False
         if use_activation_checkpointing:
             # For backward compatibility
             if hasattr(self.llm, 'enable_input_require_grads'):
@@ -116,6 +115,8 @@ def __init__(self,
         # the sequence.
         self.use_varlen_attn = use_varlen_attn
 
+        self.debug_sp = False
+
     def build_llm_from_cfg(self, llm_cfg, use_varlen_attn,
                            max_position_embeddings):
         # For forward
@@ -288,11 +289,17 @@ def _compute_sequence_parallel_loss(self, data):
         data = self._split_for_sequence_parallel(data)
         outputs = self.llm(**data)
         labels = data['labels']
-        num_tokens = (labels != -100).sum()
+
         sp_group = get_sequence_parallel_group()
-        loss = reduce_sequence_parallel_loss(outputs.loss, num_tokens,
-                                             sp_group)
-        return {'loss': loss}
+        loss = rescale_sp_loss(outputs.loss, labels, sp_group)
+        output = {'loss': loss}
+        if self.debug_sp:
+            reduced_loss = reduce_sp_loss_for_debug(outputs.loss, labels,
+                                                    sp_group)
+            # string `loss` can not be a part of the key in output dict
+            # https://github.com/open-mmlab/mmengine/blob/main/mmengine/model/base_model/base_model.py#L174  # noqa: E501
+            output['reduced_l'] = reduced_loss
+        return output
 
     def compute_loss(self, data, data_samples=None):
         if get_sequence_parallel_world_size() > 1:
diff --git a/xtuner/parallel/sequence/__init__.py b/xtuner/parallel/sequence/__init__.py
index 6e2992f78..01aaafd6d 100644
--- a/xtuner/parallel/sequence/__init__.py
+++ b/xtuner/parallel/sequence/__init__.py
@@ -9,7 +9,7 @@
                    split_forward_gather_backward)
 from .data_collate import (pad_cumulative_len_for_sequence_parallel,
                            pad_for_sequence_parallel)
-from .reduce_loss import reduce_sequence_parallel_loss
+from .reduce_loss import reduce_sp_loss_for_debug, rescale_sp_loss
 from .sampler import SequenceParallelSampler
 from .setup_distributed import (get_data_parallel_group,
                                 get_data_parallel_rank,
@@ -31,11 +31,12 @@
     'init_sequence_parallel', 'get_sequence_parallel_group',
     'get_sequence_parallel_world_size', 'get_sequence_parallel_rank',
     'get_data_parallel_group', 'get_data_parallel_world_size',
-    'get_data_parallel_rank', 'reduce_sequence_parallel_loss', 'init_dist',
+    'get_data_parallel_rank', 'init_dist',
     'all_to_all', 'gather_for_sequence_parallel',
     'split_forward_gather_backward', 'gather_forward_split_backward',
     'get_inner_sequence_parallel_group', 'get_inner_sequence_parallel_rank',
     'get_inner_sequence_parallel_world_size', 'init_inner_sequence_parallel',
     'is_inner_sequence_parallel_initialized',
-    'pad_cumulative_len_for_sequence_parallel'
+    'pad_cumulative_len_for_sequence_parallel', 'rescale_sp_loss',
+    'reduce_sp_loss_for_debug'
 ]
diff --git a/xtuner/parallel/sequence/reduce_loss.py b/xtuner/parallel/sequence/reduce_loss.py
index fb37242a3..7ece7fd67 100644
--- a/xtuner/parallel/sequence/reduce_loss.py
+++ b/xtuner/parallel/sequence/reduce_loss.py
@@ -1,34 +1,55 @@
+import copy
+
 import torch
 import torch.distributed as dist
 
 from .setup_distributed import get_sequence_parallel_group
 
 
-class _ReduceLoss(torch.autograd.Function):
+def rescale_sp_loss(loss_per_sp_rank,
+                    labels_per_sp_rank,
+                    sp_group: dist.ProcessGroup = None,
+                    ignore_index=-100):
+    if sp_group is None:
+        sp_group = get_sequence_parallel_group()
+
+    if (sp_group is None) or (dist.get_world_size(sp_group) == 1):
+        return loss_per_sp_rank
+
+    shift_labels = labels_per_sp_rank[..., 1:].view(-1)
+    active_tokens = (shift_labels != ignore_index).long().sum()
+    global_active_tokens = copy.deepcopy(active_tokens)
+    dist.all_reduce(global_active_tokens, group=sp_group)
+    loss_weight = active_tokens / global_active_tokens * dist.get_world_size(
+        group=sp_group)
 
-    @staticmethod
-    def forward(ctx, mean_loss, loss_scale, process_group):
-        ctx.mode = process_group
-        if loss_scale == 0:
-            # convert nan to 0 just for logging
-            mean_loss = torch.nan_to_num(mean_loss)
-        loss_sum = mean_loss * loss_scale
-        dist.all_reduce(loss_sum, group=process_group)
-        dist.all_reduce(loss_scale, group=process_group)
-        loss = loss_sum / loss_scale
-        return loss
+    if active_tokens == 0:
+        # convert nan to 0 just for logging
+        loss_per_sp_rank = torch.nan_to_num(loss_per_sp_rank)
 
-    @staticmethod
-    def backward(ctx, grad_output):
-        return grad_output, None, None
+    return loss_per_sp_rank * loss_weight
 
 
-def reduce_sequence_parallel_loss(mean_loss,
-                                  loss_scale,
-                                  sp_group: dist.ProcessGroup = None):
-    if dist.get_world_size(sp_group) == 1:
-        return mean_loss
+def reduce_sp_loss_for_debug(loss_per_sp_rank,
+                             labels_per_sp_rank,
+                             sp_group: dist.ProcessGroup = None,
+                             ignore_index=-100):
+    # Reduce loss to check whether the training losses is different
+    # when using sp. This function is only used for debugging
     if sp_group is None:
-        # avoid bc breaking
         sp_group = get_sequence_parallel_group()
-    return _ReduceLoss.apply(mean_loss, loss_scale, sp_group)
+
+    if (sp_group is None) or (dist.get_world_size(sp_group) == 1):
+        return loss_per_sp_rank
+
+    shift_labels = labels_per_sp_rank[..., 1:].view(-1)
+    active_tokens = (shift_labels != ignore_index).long().sum()
+    if active_tokens == 0:
+        # convert nan to 0 just for logging
+        loss_per_sp_rank = torch.nan_to_num(loss_per_sp_rank)
+
+    loss_sum = loss_per_sp_rank * active_tokens
+    global_active_tokens = copy.deepcopy(active_tokens)
+    dist.all_reduce(loss_sum, group=sp_group)
+    dist.all_reduce(global_active_tokens, group=sp_group)
+    return loss_sum / global_active_tokens