diff --git a/.pre-commit-config.yaml b/.pre-commit-config.yaml
index 13b8422c..72a66ab7 100644
--- a/.pre-commit-config.yaml
+++ b/.pre-commit-config.yaml
@@ -12,7 +12,7 @@ repos:
       - id: isort
 
   - repo: https://github.com/hakancelikdev/unimport
-    rev: 0.16.0
+    rev: 0.16.1
     hooks:
       - id: unimport
 
diff --git a/action.yml b/action.yml
index aee29e77..0ec92fe4 100644
--- a/action.yml
+++ b/action.yml
@@ -10,7 +10,7 @@ inputs:
 runs:
   using: "composite"
   steps:
-    - run: pip install --upgrade pip && python -m pip install unimport==0.16.0
+    - run: pip install --upgrade pip && python -m pip install unimport==0.16.1
       shell: bash
     - run: unimport --color auto --gitignore --ignore-init ${{ inputs.extra_args }}
       shell: bash
diff --git a/docs/CHANGELOG.md b/docs/CHANGELOG.md
index da9beb7c..9796d4e2 100644
--- a/docs/CHANGELOG.md
+++ b/docs/CHANGELOG.md
@@ -4,6 +4,13 @@ All notable changes to this project will be documented in this file.
 
 ## [Unreleased] - YYYY-MM-DD
 
+## [0.16.1] - 2023-07-05
+
+### Fixed
+
+- Fix: ignore-init setting is not working from command line call
+  [#263](https://github.com/hakancelikdev/unimport/issues/263)
+
 ## [0.16.0] - 2023-04-04
 
 ### Added
diff --git a/docs/tutorial/use-with-github-action.md b/docs/tutorial/use-with-github-action.md
index 2021ec0b..4c613e69 100644
--- a/docs/tutorial/use-with-github-action.md
+++ b/docs/tutorial/use-with-github-action.md
@@ -27,7 +27,7 @@ jobs:
       - uses: actions/checkout@v3
       - uses: actions/setup-python@v3
       - name: Check unused imports
-        uses: hakancelikdev/unimport@0.16.0
+        uses: hakancelikdev/unimport@0.16.1
         with:
           extra_args: --include src/
 ```
diff --git a/src/unimport/__init__.py b/src/unimport/__init__.py
index a6812378..c8938839 100644
--- a/src/unimport/__init__.py
+++ b/src/unimport/__init__.py
@@ -1,2 +1,2 @@
-__version__ = "0.16.0"
+__version__ = "0.16.1"
 __description__ = "A linter, formatter for finding and removing unused import statements."
diff --git a/src/unimport/config.py b/src/unimport/config.py
index c72e694c..2f4aea55 100644
--- a/src/unimport/config.py
+++ b/src/unimport/config.py
@@ -93,7 +93,7 @@ def __post_init__(self):
         if self.gitignore:
             self.gitignore_patterns = utils.get_exclude_list_from_gitignore()
 
-        elif self.ignore_init:
+        if self.ignore_init:
             self.exclude = "|".join([self.exclude, C.INIT_FILE_IGNORE_REGEX])
 
     def get_paths(self) -> Iterator[Path]:
diff --git a/tests/config/test_config.py b/tests/config/test_config.py
index 6910498f..73f6e5e0 100644
--- a/tests/config/test_config.py
+++ b/tests/config/test_config.py
@@ -97,7 +97,8 @@ def test_parse_config_parse_args_config_setup_cfg():
 def test_parse_config_parse_args(argv: List[str], expected_argv: str, attribute_name: str):
     parser = generate_parser()
     args = parser.parse_args(argv)
-    config = ParseConfig.parse_args(parser.parse_args(argv))
+    args.disable_auto_discovery_config = True
+    config = ParseConfig.parse_args(args)
 
     assert getattr(config, attribute_name) == expected_argv, f"args: {args}, attribute_name: {attribute_name}"
 
@@ -127,6 +128,25 @@ def test_config_build_default_command_diff():
     assert Config.build(args={"permission": True}).diff is True
 
 
+def test_config_build_command_ignore_init():
+    config = Config.build()
+
+    assert config.ignore_init is False
+    assert config.exclude == "^$"
+
+    c = Config.build(args={"ignore_init": True})
+    assert c.ignore_init is True
+    assert c.exclude == "^$|__init__\\.py"
+
+    c = Config.build(args={"gitignore": True})
+    assert c.ignore_init is False
+    assert c.exclude == "^$"
+
+    c = Config.build(args={"gitignore": True, "ignore_init": True})
+    assert c.ignore_init is True
+    assert c.exclude == "^$|__init__\\.py"
+
+
 def test_config_build_default_remove():
     config = Config.build(args={"disable_auto_discovery_config": True})