diff --git a/src/poetry/core/factory.py b/src/poetry/core/factory.py
index 070976a32..c58059a0c 100644
--- a/src/poetry/core/factory.py
+++ b/src/poetry/core/factory.py
@@ -368,18 +368,10 @@ def _configure_package_poetry_specifics(
             package.build_config = build or {}
 
         if includes := tool_poetry.get("include"):
-            package.include = []
-
-            for include in includes:
-                if not isinstance(include, dict):
-                    include = {"path": include}
-
-                formats = include.get("format", [])
-                if formats and not isinstance(formats, list):
-                    formats = [formats]
-                include["format"] = formats
-
-                package.include.append(include)
+            package.include = [
+                include if isinstance(include, dict) else {"path": include}
+                for include in includes
+            ]
 
         if exclude := tool_poetry.get("exclude"):
             package.exclude = exclude
diff --git a/src/poetry/core/masonry/builders/builder.py b/src/poetry/core/masonry/builders/builder.py
index de1038522..431da9b72 100644
--- a/src/poetry/core/masonry/builders/builder.py
+++ b/src/poetry/core/masonry/builders/builder.py
@@ -27,12 +27,7 @@
 class Builder:
     format: str | None = None
 
-    def __init__(
-        self,
-        poetry: Poetry,
-        ignore_packages_formats: bool = False,
-        executable: Path | None = None,
-    ) -> None:
+    def __init__(self, poetry: Poetry, executable: Path | None = None) -> None:
         from poetry.core.masonry.metadata import Metadata
 
         if not poetry.is_package_mode:
@@ -43,7 +38,6 @@ def __init__(
         self._poetry = poetry
         self._package = poetry.package
         self._path: Path = poetry.pyproject_path.parent
-        self._ignore_packages_formats = ignore_packages_formats
         self._excluded_files: set[str] | None = None
         self._executable = Path(executable or sys.executable)
         self._meta = Metadata.from_package(self._package)
@@ -52,41 +46,23 @@ def __init__(
     def _module(self) -> Module:
         from poetry.core.masonry.utils.module import Module
 
-        packages = []
-        for p in self._package.packages:
-            formats = p.get("format") or None
-
-            # Default to including the package in both sdist & wheel
-            # if the `format` key is not provided in the inline include table.
-            if formats is None:
-                formats = ["sdist", "wheel"]
-
-            if not isinstance(formats, list):
-                formats = [formats]
-
-            if (
-                formats
-                and self.format
-                and self.format not in formats
-                and not self._ignore_packages_formats
-            ):
-                continue
-
-            packages.append(p)
-
-        includes = []
-        for include in self._package.include:
-            formats = include.get("format", [])
-
-            if (
-                formats
-                and self.format
-                and self.format not in formats
-                and not self._ignore_packages_formats
-            ):
-                continue
+        packages: list[dict[str, str | dict[str, str]]] = []
+        includes: list[dict[str, str | dict[str, str]]] = []
+        for source_list, target_list, default in [
+            (self._package.packages, packages, ["sdist", "wheel"]),
+            (self._package.include, includes, ["sdist"]),
+        ]:
+            for item in source_list:
+                # Default to including in both sdist & wheel
+                # if the `format` key is not provided.
+                formats = item.get("format", default)
+                if not isinstance(formats, list):
+                    formats = [formats]
+
+                if self.format and self.format not in formats:
+                    continue
 
-            includes.append(include)
+                target_list.append({**item, "format": formats})
 
         return Module(
             self._package.name,
@@ -122,15 +98,12 @@ def find_excluded_files(self, fmt: str | None = None) -> set[str]:
                     )
 
             explicitly_included = set()
-            for inc in self._package.include:
-                if fmt and inc["format"] and fmt not in inc["format"]:
+            for inc in self._module.explicit_includes:
+                if fmt and fmt not in inc.formats:
                     continue
 
-                included_glob = inc["path"]
-                for included in self._path.glob(str(included_glob)):
-                    explicitly_included.add(
-                        Path(included).relative_to(self._path).as_posix()
-                    )
+                for included in inc.elements:
+                    explicitly_included.add(included.relative_to(self._path).as_posix())
 
             ignored = (vcs_ignored_files | explicitly_excluded) - explicitly_included
             for ignored_file in ignored:
@@ -164,7 +137,7 @@ def find_files_to_add(self, exclude_build: bool = True) -> set[BuildIncludeFile]
 
         for include in self._module.includes:
             include.refresh()
-            formats = include.formats or ["sdist"]
+            formats = include.formats
 
             for file in include.elements:
                 if "__pycache__" in str(file):
@@ -201,7 +174,7 @@ def find_files_to_add(self, exclude_build: bool = True) -> set[BuildIncludeFile]
                             if not (
                                 current_file.is_dir()
                                 or self.is_excluded(
-                                    include_file.relative_to_source_root()
+                                    include_file.relative_to_project_root()
                                 )
                             ):
                                 to_add.add(include_file)
diff --git a/src/poetry/core/masonry/utils/include.py b/src/poetry/core/masonry/utils/include.py
index f183aa6c8..e75c74fbb 100644
--- a/src/poetry/core/masonry/utils/include.py
+++ b/src/poetry/core/masonry/utils/include.py
@@ -21,9 +21,7 @@ class Include:
         - a directory
     """
 
-    def __init__(
-        self, base: Path, include: str, formats: list[str] | None = None
-    ) -> None:
+    def __init__(self, base: Path, include: str, formats: list[str]) -> None:
         self._base = base
         self._include = str(include)
         self._formats = formats
@@ -39,7 +37,7 @@ def elements(self) -> list[Path]:
         return self._elements
 
     @property
-    def formats(self) -> list[str] | None:
+    def formats(self) -> list[str]:
         return self._formats
 
     def is_empty(self) -> bool:
diff --git a/src/poetry/core/masonry/utils/module.py b/src/poetry/core/masonry/utils/module.py
index 6053790e6..d338463d5 100644
--- a/src/poetry/core/masonry/utils/module.py
+++ b/src/poetry/core/masonry/utils/module.py
@@ -31,18 +31,20 @@ def __init__(
         self._in_src = False
         self._is_package = False
         self._path = Path(directory)
-        self._includes: list[Include] = []
+        self._package_includes: list[PackageInclude] = []
+        self._explicit_includes: list[Include] = []
 
         if not packages:
             # It must exist either as a .py file or a directory, but not both
             pkg_dir = Path(directory, self._name)
             py_file = Path(directory, self._name + ".py")
+            default_package: dict[str, Any]
             if pkg_dir.is_dir() and py_file.is_file():
                 raise ValueError(f"Both {pkg_dir} and {py_file} exist")
             elif pkg_dir.is_dir():
-                packages = [{"include": str(pkg_dir.relative_to(self._path))}]
+                default_package = {"include": str(pkg_dir.relative_to(self._path))}
             elif py_file.is_file():
-                packages = [{"include": str(py_file.relative_to(self._path))}]
+                default_package = {"include": str(py_file.relative_to(self._path))}
             else:
                 # Searching for a src module
                 src = Path(directory, "src")
@@ -52,41 +54,35 @@ def __init__(
                 if src_pkg_dir.is_dir() and src_py_file.is_file():
                     raise ValueError(f"Both {pkg_dir} and {py_file} exist")
                 elif src_pkg_dir.is_dir():
-                    packages = [
-                        {
-                            "include": str(src_pkg_dir.relative_to(src)),
-                            "from": str(src.relative_to(self._path)),
-                        }
-                    ]
+                    default_package = {
+                        "include": str(src_pkg_dir.relative_to(src)),
+                        "from": str(src.relative_to(self._path)),
+                    }
                 elif src_py_file.is_file():
-                    packages = [
-                        {
-                            "include": str(src_py_file.relative_to(src)),
-                            "from": str(src.relative_to(self._path)),
-                        }
-                    ]
+                    default_package = {
+                        "include": str(src_py_file.relative_to(src)),
+                        "from": str(src.relative_to(self._path)),
+                    }
                 else:
                     raise ModuleOrPackageNotFoundError(
                         f"No file/folder found for package {name}"
                     )
+            default_package["format"] = ["sdist", "wheel"]
+            packages = [default_package]
 
         for package in packages:
-            formats = package.get("format")
-            if formats and not isinstance(formats, list):
-                formats = [formats]
-
-            self._includes.append(
+            self._package_includes.append(
                 PackageInclude(
                     self._path,
                     package["include"],
-                    formats=formats,
+                    formats=package["format"],
                     source=package.get("from"),
                     target=package.get("to"),
                 )
             )
 
         for include in includes:
-            self._includes.append(
+            self._explicit_includes.append(
                 Include(self._path, include["path"], formats=include["format"])
             )
 
@@ -107,7 +103,11 @@ def file(self) -> Path:
 
     @property
     def includes(self) -> list[Include]:
-        return self._includes
+        return [*self._package_includes, *self._explicit_includes]
+
+    @property
+    def explicit_includes(self) -> list[Include]:
+        return self._explicit_includes
 
     def is_package(self) -> bool:
         return self._is_package
diff --git a/src/poetry/core/masonry/utils/package_include.py b/src/poetry/core/masonry/utils/package_include.py
index 5fa659aee..b68779ff8 100644
--- a/src/poetry/core/masonry/utils/package_include.py
+++ b/src/poetry/core/masonry/utils/package_include.py
@@ -14,7 +14,7 @@ def __init__(
         self,
         base: Path,
         include: str,
-        formats: list[str] | None = None,
+        formats: list[str],
         source: str | None = None,
         target: str | None = None,
     ) -> None:
diff --git a/tests/masonry/builders/fixtures/exclude_nested_data_toml/pyproject.toml b/tests/masonry/builders/fixtures/exclude_nested_data_toml/pyproject.toml
index 0747ae636..f18231f2c 100644
--- a/tests/masonry/builders/fixtures/exclude_nested_data_toml/pyproject.toml
+++ b/tests/masonry/builders/fixtures/exclude_nested_data_toml/pyproject.toml
@@ -10,7 +10,7 @@ license = "MIT"
 readme = "README.rst"
 
 exclude = ["**/data/", "**/*/item*"]
-include = ["my_package/data/data2.txt"]
+include = [{path = "my_package/data/data2.txt", format = ["sdist", "wheel"]}]
 
 homepage = "https://python-poetry.org/"
 repository = "https://github.com/python-poetry/poetry"
diff --git a/tests/masonry/builders/fixtures/include_excluded_code/pyproject.toml b/tests/masonry/builders/fixtures/include_excluded_code/pyproject.toml
index a69ea1808..0b6bf8e8f 100644
--- a/tests/masonry/builders/fixtures/include_excluded_code/pyproject.toml
+++ b/tests/masonry/builders/fixtures/include_excluded_code/pyproject.toml
@@ -8,7 +8,7 @@ packages = [{include='my_package', from='lib'}]
 # Simulate excluding due to .gitignore
 exclude = ['lib/my_package/generated.py']
 # Include again
-include = ['lib/my_package/generated.py']
+include = [{ path = 'lib/my_package/generated.py', format = ["sdist", "wheel"] }]
 
 [tool.poetry.dependencies]
 python = "^3.8"
diff --git a/tests/masonry/builders/fixtures/with_include_inline_table/both.txt b/tests/masonry/builders/fixtures/with-include-formats/both.txt
similarity index 100%
rename from tests/masonry/builders/fixtures/with_include_inline_table/both.txt
rename to tests/masonry/builders/fixtures/with-include-formats/both.txt
diff --git a/tests/masonry/builders/fixtures/with-include-formats/both/file.txt b/tests/masonry/builders/fixtures/with-include-formats/both/file.txt
new file mode 100644
index 000000000..8b1378917
--- /dev/null
+++ b/tests/masonry/builders/fixtures/with-include-formats/both/file.txt
@@ -0,0 +1 @@
+
diff --git a/tests/masonry/builders/fixtures/with-include-formats/both/sub/file.txt b/tests/masonry/builders/fixtures/with-include-formats/both/sub/file.txt
new file mode 100644
index 000000000..8b1378917
--- /dev/null
+++ b/tests/masonry/builders/fixtures/with-include-formats/both/sub/file.txt
@@ -0,0 +1 @@
+
diff --git a/tests/masonry/builders/fixtures/with_include_inline_table/src/src_package/__init__.py b/tests/masonry/builders/fixtures/with-include-formats/default.txt
similarity index 100%
rename from tests/masonry/builders/fixtures/with_include_inline_table/src/src_package/__init__.py
rename to tests/masonry/builders/fixtures/with-include-formats/default.txt
diff --git a/tests/masonry/builders/fixtures/with-include-formats/default/file.txt b/tests/masonry/builders/fixtures/with-include-formats/default/file.txt
new file mode 100644
index 000000000..8b1378917
--- /dev/null
+++ b/tests/masonry/builders/fixtures/with-include-formats/default/file.txt
@@ -0,0 +1 @@
+
diff --git a/tests/masonry/builders/fixtures/with-include-formats/default/sub/file.txt b/tests/masonry/builders/fixtures/with-include-formats/default/sub/file.txt
new file mode 100644
index 000000000..8b1378917
--- /dev/null
+++ b/tests/masonry/builders/fixtures/with-include-formats/default/sub/file.txt
@@ -0,0 +1 @@
+
diff --git a/tests/masonry/builders/fixtures/with-include-formats/pyproject.toml b/tests/masonry/builders/fixtures/with-include-formats/pyproject.toml
new file mode 100644
index 000000000..9c7556304
--- /dev/null
+++ b/tests/masonry/builders/fixtures/with-include-formats/pyproject.toml
@@ -0,0 +1,64 @@
+[tool.poetry]
+name = "with-include"
+version = "1.2.3"
+description = "Some description."
+authors = [
+    "Sébastien Eustace <sebastien@eustace.io>"
+]
+license = "MIT"
+
+homepage = "https://python-poetry.org/"
+repository = "https://github.com/python-poetry/poetry"
+documentation = "https://python-poetry.org/docs"
+
+keywords = ["packaging", "dependency", "poetry"]
+
+classifiers = [
+    "Topic :: Software Development :: Build Tools",
+    "Topic :: Software Development :: Libraries :: Python Modules"
+]
+
+packages = [
+    # modules
+    { include = "mod_default.py", from = "src" },
+    { include = "mod_sdist_only.py", from = "src", format = "sdist" },
+    { include = "mod_wheel_only.py", from = "src", format = "wheel" },
+    { include = "mod_both.py", from = "src", format = [ "sdist", "wheel" ]},
+    # packages
+    { include = "pkg_default", from = "src" },
+    { include = "pkg_sdist_only", from = "src", format = "sdist" },
+    { include = "pkg_wheel_only", from = "src", format = "wheel" },
+    { include = "pkg_both", from = "src", format = [ "sdist", "wheel" ]},
+]
+
+include = [
+    # files
+    { path = "default.txt" },
+    { path = "sdist_only.txt", format = "sdist" },
+    { path = "wheel_only.txt", format = "wheel" },
+    { path = "both.txt", format = [ "sdist", "wheel" ] },
+    # directories
+    { path = "default" },
+    { path = "sdist_only", format = "sdist" },
+    { path = "wheel_only", format = "wheel" },
+    { path = "both", format = [ "sdist", "wheel" ] },
+]
+
+
+# Requirements
+[tool.poetry.dependencies]
+python = "^3.6"
+cleo = "^0.6"
+cachy = { version = "^0.2.0", extras = ["msgpack"] }
+
+pendulum = { version = "^1.4", optional = true }
+
+[tool.poetry.group.dev.dependencies]
+pytest = "~3.4"
+
+[tool.poetry.extras]
+time = ["pendulum"]
+
+[tool.poetry.scripts]
+my-script = "my_package:main"
+my-2nd-script = "my_package:main2"
diff --git a/tests/masonry/builders/fixtures/with_include_inline_table/tests/__init__.py b/tests/masonry/builders/fixtures/with-include-formats/sdist_only.txt
similarity index 100%
rename from tests/masonry/builders/fixtures/with_include_inline_table/tests/__init__.py
rename to tests/masonry/builders/fixtures/with-include-formats/sdist_only.txt
diff --git a/tests/masonry/builders/fixtures/with-include-formats/sdist_only/file.txt b/tests/masonry/builders/fixtures/with-include-formats/sdist_only/file.txt
new file mode 100644
index 000000000..8b1378917
--- /dev/null
+++ b/tests/masonry/builders/fixtures/with-include-formats/sdist_only/file.txt
@@ -0,0 +1 @@
+
diff --git a/tests/masonry/builders/fixtures/with-include-formats/sdist_only/sub/file.txt b/tests/masonry/builders/fixtures/with-include-formats/sdist_only/sub/file.txt
new file mode 100644
index 000000000..8b1378917
--- /dev/null
+++ b/tests/masonry/builders/fixtures/with-include-formats/sdist_only/sub/file.txt
@@ -0,0 +1 @@
+
diff --git a/tests/masonry/builders/fixtures/with_include_inline_table/tests/test_foo/test.py b/tests/masonry/builders/fixtures/with-include-formats/src/mod_both.py
similarity index 100%
rename from tests/masonry/builders/fixtures/with_include_inline_table/tests/test_foo/test.py
rename to tests/masonry/builders/fixtures/with-include-formats/src/mod_both.py
diff --git a/tests/masonry/builders/fixtures/with_include_inline_table/wheel_only.txt b/tests/masonry/builders/fixtures/with-include-formats/src/mod_default.py
similarity index 100%
rename from tests/masonry/builders/fixtures/with_include_inline_table/wheel_only.txt
rename to tests/masonry/builders/fixtures/with-include-formats/src/mod_default.py
diff --git a/tests/masonry/builders/fixtures/with-include-formats/src/mod_sdist_only.py b/tests/masonry/builders/fixtures/with-include-formats/src/mod_sdist_only.py
new file mode 100644
index 000000000..e69de29bb
diff --git a/tests/masonry/builders/fixtures/with-include-formats/src/mod_wheel_only.py b/tests/masonry/builders/fixtures/with-include-formats/src/mod_wheel_only.py
new file mode 100644
index 000000000..e69de29bb
diff --git a/tests/masonry/builders/fixtures/with-include-formats/src/pkg_both/__init__.py b/tests/masonry/builders/fixtures/with-include-formats/src/pkg_both/__init__.py
new file mode 100644
index 000000000..e69de29bb
diff --git a/tests/masonry/builders/fixtures/with-include-formats/src/pkg_both/sub/__init__.py b/tests/masonry/builders/fixtures/with-include-formats/src/pkg_both/sub/__init__.py
new file mode 100644
index 000000000..e69de29bb
diff --git a/tests/masonry/builders/fixtures/with-include-formats/src/pkg_default/__init__.py b/tests/masonry/builders/fixtures/with-include-formats/src/pkg_default/__init__.py
new file mode 100644
index 000000000..e69de29bb
diff --git a/tests/masonry/builders/fixtures/with-include-formats/src/pkg_default/sub/__init__.py b/tests/masonry/builders/fixtures/with-include-formats/src/pkg_default/sub/__init__.py
new file mode 100644
index 000000000..e69de29bb
diff --git a/tests/masonry/builders/fixtures/with-include-formats/src/pkg_sdist_only/__init__.py b/tests/masonry/builders/fixtures/with-include-formats/src/pkg_sdist_only/__init__.py
new file mode 100644
index 000000000..e69de29bb
diff --git a/tests/masonry/builders/fixtures/with-include-formats/src/pkg_sdist_only/sub/__init__.py b/tests/masonry/builders/fixtures/with-include-formats/src/pkg_sdist_only/sub/__init__.py
new file mode 100644
index 000000000..e69de29bb
diff --git a/tests/masonry/builders/fixtures/with-include-formats/src/pkg_wheel_only/__init__.py b/tests/masonry/builders/fixtures/with-include-formats/src/pkg_wheel_only/__init__.py
new file mode 100644
index 000000000..e69de29bb
diff --git a/tests/masonry/builders/fixtures/with-include-formats/src/pkg_wheel_only/sub/__init__.py b/tests/masonry/builders/fixtures/with-include-formats/src/pkg_wheel_only/sub/__init__.py
new file mode 100644
index 000000000..e69de29bb
diff --git a/tests/masonry/builders/fixtures/with-include-formats/wheel_only.txt b/tests/masonry/builders/fixtures/with-include-formats/wheel_only.txt
new file mode 100644
index 000000000..e69de29bb
diff --git a/tests/masonry/builders/fixtures/with-include-formats/wheel_only/file.txt b/tests/masonry/builders/fixtures/with-include-formats/wheel_only/file.txt
new file mode 100644
index 000000000..8b1378917
--- /dev/null
+++ b/tests/masonry/builders/fixtures/with-include-formats/wheel_only/file.txt
@@ -0,0 +1 @@
+
diff --git a/tests/masonry/builders/fixtures/with-include-formats/wheel_only/sub/file.txt b/tests/masonry/builders/fixtures/with-include-formats/wheel_only/sub/file.txt
new file mode 100644
index 000000000..8b1378917
--- /dev/null
+++ b/tests/masonry/builders/fixtures/with-include-formats/wheel_only/sub/file.txt
@@ -0,0 +1 @@
+
diff --git a/tests/masonry/builders/fixtures/with-include/pyproject.toml b/tests/masonry/builders/fixtures/with-include/pyproject.toml
index 8650f524d..ad94f6467 100644
--- a/tests/masonry/builders/fixtures/with-include/pyproject.toml
+++ b/tests/masonry/builders/fixtures/with-include/pyproject.toml
@@ -33,8 +33,8 @@ packages = [
 ]
 
 include = [
-    "extra_dir/vcs_excluded.py",
-    "notes.txt"
+    { path = "extra_dir/vcs_excluded.py", format = ["sdist", "wheel"] },
+    "notes.txt",  # default is sdist only
 ]
 
 
diff --git a/tests/masonry/builders/fixtures/with_include_inline_table/pyproject.toml b/tests/masonry/builders/fixtures/with_include_inline_table/pyproject.toml
deleted file mode 100644
index 991b0e8cf..000000000
--- a/tests/masonry/builders/fixtures/with_include_inline_table/pyproject.toml
+++ /dev/null
@@ -1,48 +0,0 @@
-[tool.poetry]
-name = "with-include"
-version = "1.2.3"
-description = "Some description."
-authors = [
-    "Sébastien Eustace <sebastien@eustace.io>"
-]
-license = "MIT"
-
-homepage = "https://python-poetry.org/"
-repository = "https://github.com/python-poetry/poetry"
-documentation = "https://python-poetry.org/docs"
-
-keywords = ["packaging", "dependency", "poetry"]
-
-classifiers = [
-    "Topic :: Software Development :: Build Tools",
-    "Topic :: Software Development :: Libraries :: Python Modules"
-]
-
-packages = [
-    { include = "src_package", from = "src"},
-]
-
-include = [
-    { path = "tests", format = "sdist" },
-    { path = "both.txt" },
-    { path = "wheel_only.txt", format = "wheel" }
-]
-
-
-# Requirements
-[tool.poetry.dependencies]
-python = "^3.6"
-cleo = "^0.6"
-cachy = { version = "^0.2.0", extras = ["msgpack"] }
-
-pendulum = { version = "^1.4", optional = true }
-
-[tool.poetry.group.dev.dependencies]
-pytest = "~3.4"
-
-[tool.poetry.extras]
-time = ["pendulum"]
-
-[tool.poetry.scripts]
-my-script = "my_package:main"
-my-2nd-script = "my_package:main2"
diff --git a/tests/masonry/builders/test_complete.py b/tests/masonry/builders/test_complete.py
index 26d167caf..86a604175 100644
--- a/tests/masonry/builders/test_complete.py
+++ b/tests/masonry/builders/test_complete.py
@@ -347,7 +347,7 @@ def test_package_with_include(mocker: MockerFixture) -> None:
         assert "extra_dir/sub_pkg/vcs_excluded.py" not in names
         assert "for_wheel_only/__init__.py" in names
         assert "my_module.py" in names
-        assert "notes.txt" in names
+        assert "notes.txt" not in names
         assert "package_with_include/__init__.py" in names
         assert "tests/__init__.py" not in names
         assert "src_package/__init__.py" in names
diff --git a/tests/masonry/builders/test_sdist.py b/tests/masonry/builders/test_sdist.py
index df2df2434..5fe34267c 100644
--- a/tests/masonry/builders/test_sdist.py
+++ b/tests/masonry/builders/test_sdist.py
@@ -244,7 +244,7 @@ def test_find_packages(project_name: str) -> None:
     builder = SdistBuilder(poetry)
 
     base = project(project_name)
-    include = PackageInclude(base, "my_package")
+    include = PackageInclude(base, "my_package", formats=["sdist"])
 
     pkg_dir, packages, pkg_data = builder.find_packages(include)
 
@@ -266,7 +266,7 @@ def test_find_packages(project_name: str) -> None:
     builder = SdistBuilder(poetry)
 
     base = project("source_package")
-    include = PackageInclude(base, "package_src", source="src")
+    include = PackageInclude(base, "package_src", source="src", formats=["sdist"])
 
     pkg_dir, packages, pkg_data = builder.find_packages(include)
 
@@ -579,27 +579,47 @@ def test_includes() -> None:
         assert "with_include-1.2.3/notes.txt" in tar.getnames()
 
 
-def test_includes_with_inline_table() -> None:
-    poetry = Factory().create_poetry(project("with_include_inline_table"))
+def test_include_formats() -> None:
+    poetry = Factory().create_poetry(project("with-include-formats"))
 
     builder = SdistBuilder(poetry)
 
     builder.build()
 
-    sdist = (
-        fixtures_dir
-        / "with_include_inline_table"
-        / "dist"
-        / "with_include-1.2.3.tar.gz"
-    )
+    sdist = fixtures_dir / "with-include-formats" / "dist" / "with_include-1.2.3.tar.gz"
 
     assert sdist.exists()
 
     with tarfile.open(str(sdist), "r") as tar:
-        assert "with_include-1.2.3/both.txt" in tar.getnames()
+        # packages
+        assert "with_include-1.2.3/src/mod_default.py" in tar.getnames()
+        assert "with_include-1.2.3/src/mod_sdist_only.py" in tar.getnames()
+        assert "with_include-1.2.3/src/mod_wheel_only.py" not in tar.getnames()
+        assert "with_include-1.2.3/src/mod_both.py" in tar.getnames()
+        assert "with_include-1.2.3/src/pkg_default/__init__.py" in tar.getnames()
+        assert "with_include-1.2.3/src/pkg_default/sub/__init__.py" in tar.getnames()
+        assert "with_include-1.2.3/src/pkg_sdist_only/__init__.py" in tar.getnames()
+        assert "with_include-1.2.3/src/pkg_sdist_only/sub/__init__.py" in tar.getnames()
+        assert "with_include-1.2.3/src/pkg_wheel_only/__init__.py" not in tar.getnames()
+        assert (
+            "with_include-1.2.3/src/pkg_wheel_only/sub/__init__.py"
+            not in tar.getnames()
+        )
+        assert "with_include-1.2.3/src/pkg_both/__init__.py" in tar.getnames()
+        assert "with_include-1.2.3/src/pkg_both/sub/__init__.py" in tar.getnames()
+        # other includes
+        assert "with_include-1.2.3/default.txt" in tar.getnames()
+        assert "with_include-1.2.3/sdist_only.txt" in tar.getnames()
         assert "with_include-1.2.3/wheel_only.txt" not in tar.getnames()
-        assert "with_include-1.2.3/tests/__init__.py" in tar.getnames()
-        assert "with_include-1.2.3/tests/test_foo/test.py" in tar.getnames()
+        assert "with_include-1.2.3/both.txt" in tar.getnames()
+        assert "with_include-1.2.3/default/file.txt" in tar.getnames()
+        assert "with_include-1.2.3/default/sub/file.txt" in tar.getnames()
+        assert "with_include-1.2.3/sdist_only/file.txt" in tar.getnames()
+        assert "with_include-1.2.3/sdist_only/sub/file.txt" in tar.getnames()
+        assert "with_include-1.2.3/wheel_only/file.txt" not in tar.getnames()
+        assert "with_include-1.2.3/wheel_only/sub/file.txt" not in tar.getnames()
+        assert "with_include-1.2.3/both/file.txt" in tar.getnames()
+        assert "with_include-1.2.3/both/sub/file.txt" in tar.getnames()
 
 
 def test_excluded_subpackage() -> None:
diff --git a/tests/masonry/builders/test_wheel.py b/tests/masonry/builders/test_wheel.py
index b837eacf4..6351b2f14 100644
--- a/tests/masonry/builders/test_wheel.py
+++ b/tests/masonry/builders/test_wheel.py
@@ -256,8 +256,8 @@ def test_dist_info_file_permissions(project: str) -> None:
         )
 
 
-def test_wheel_includes_inline_table() -> None:
-    module_path = fixtures_dir / "with_include_inline_table"
+def test_wheel_include_formats() -> None:
+    module_path = fixtures_dir / "with-include-formats"
     WheelBuilder.make(Factory().create_poetry(module_path))
 
     whl = module_path / "dist" / "with_include-1.2.3-py3-none-any.whl"
@@ -265,9 +265,32 @@ def test_wheel_includes_inline_table() -> None:
     assert whl.exists()
 
     with zipfile.ZipFile(str(whl)) as z:
-        assert "both.txt" in z.namelist()
+        # packages
+        assert "mod_default.py" in z.namelist()
+        assert "mod_sdist_only.py" not in z.namelist()
+        assert "mod_wheel_only.py" in z.namelist()
+        assert "mod_both.py" in z.namelist()
+        assert "pkg_default/__init__.py" in z.namelist()
+        assert "pkg_default/sub/__init__.py" in z.namelist()
+        assert "pkg_sdist_only/__init__.py" not in z.namelist()
+        assert "pkg_sdist_only/sub/__init__.py" not in z.namelist()
+        assert "pkg_wheel_only/__init__.py" in z.namelist()
+        assert "pkg_wheel_only/sub/__init__.py" in z.namelist()
+        assert "pkg_both/__init__.py" in z.namelist()
+        assert "pkg_both/sub/__init__.py" in z.namelist()
+        # other includes
+        assert "default.txt" not in z.namelist()
+        assert "sdist_only.txt" not in z.namelist()
         assert "wheel_only.txt" in z.namelist()
-        assert "notes.txt" not in z.namelist()
+        assert "both.txt" in z.namelist()
+        assert "default/file.txt" not in z.namelist()
+        assert "default/sub/file.txt" not in z.namelist()
+        assert "sdist_only/file.txt" not in z.namelist()
+        assert "sdist_only/sub/file.txt" not in z.namelist()
+        assert "wheel_only/file.txt" in z.namelist()
+        assert "wheel_only/sub/file.txt" in z.namelist()
+        assert "both/file.txt" in z.namelist()
+        assert "both/sub/file.txt" in z.namelist()
 
 
 @pytest.mark.parametrize(
diff --git a/tests/masonry/utils/test_package_include.py b/tests/masonry/utils/test_package_include.py
index 913a40576..07e9283fa 100644
--- a/tests/masonry/utils/test_package_include.py
+++ b/tests/masonry/utils/test_package_include.py
@@ -12,7 +12,7 @@
 
 
 def test_package_include_with_multiple_dirs() -> None:
-    pkg_include = PackageInclude(base=fixtures_dir, include="with_includes")
+    pkg_include = PackageInclude(base=fixtures_dir, include="with_includes", formats=[])
     assert pkg_include.elements == [
         with_includes / "__init__.py",
         with_includes / "bar",
@@ -27,12 +27,14 @@ def test_package_include_with_multiple_dirs() -> None:
 
 
 def test_package_include_with_simple_dir() -> None:
-    pkg_include = PackageInclude(base=with_includes, include="bar")
+    pkg_include = PackageInclude(base=with_includes, include="bar", formats=[])
     assert pkg_include.elements == [with_includes / "bar/baz.py"]
 
 
 def test_package_include_with_nested_dir() -> None:
-    pkg_include = PackageInclude(base=with_includes, include="extra_package/**/*.py")
+    pkg_include = PackageInclude(
+        base=with_includes, include="extra_package/**/*.py", formats=[]
+    )
     assert pkg_include.elements == [
         with_includes / "extra_package/some_dir/foo.py",
         with_includes / "extra_package/some_dir/quux.py",
@@ -41,14 +43,14 @@ def test_package_include_with_nested_dir() -> None:
 
 def test_package_include_with_no_python_files_in_dir() -> None:
     with pytest.raises(ValueError) as e:
-        PackageInclude(base=with_includes, include="not_a_python_pkg")
+        PackageInclude(base=with_includes, include="not_a_python_pkg", formats=[])
 
     assert str(e.value) == "not_a_python_pkg is not a package."
 
 
 def test_package_include_with_non_existent_directory() -> None:
     with pytest.raises(ValueError) as e:
-        PackageInclude(base=with_includes, include="not_a_dir")
+        PackageInclude(base=with_includes, include="not_a_dir", formats=[])
 
     err_str = str(with_includes / "not_a_dir") + " does not contain any element"
 
@@ -57,7 +59,7 @@ def test_package_include_with_non_existent_directory() -> None:
 
 def test_pep_561_stub_only_package_good_name_suffix() -> None:
     pkg_include = PackageInclude(
-        base=fixtures_dir / "pep_561_stub_only", include="good-stubs"
+        base=fixtures_dir / "pep_561_stub_only", include="good-stubs", formats=[]
     )
     assert pkg_include.elements == [
         fixtures_dir / "pep_561_stub_only/good-stubs/__init__.pyi",
@@ -67,7 +69,9 @@ def test_pep_561_stub_only_package_good_name_suffix() -> None:
 
 def test_pep_561_stub_only_partial_namespace_package_good_name_suffix() -> None:
     pkg_include = PackageInclude(
-        base=fixtures_dir / "pep_561_stub_only_partial_namespace", include="good-stubs"
+        base=fixtures_dir / "pep_561_stub_only_partial_namespace",
+        include="good-stubs",
+        formats=[],
     )
     assert pkg_include.elements == [
         fixtures_dir / "pep_561_stub_only_partial_namespace/good-stubs/module.pyi",
@@ -80,6 +84,8 @@ def test_pep_561_stub_only_partial_namespace_package_good_name_suffix() -> None:
 
 def test_pep_561_stub_only_package_bad_name_suffix() -> None:
     with pytest.raises(ValueError) as e:
-        PackageInclude(base=fixtures_dir / "pep_561_stub_only", include="bad")
+        PackageInclude(
+            base=fixtures_dir / "pep_561_stub_only", include="bad", formats=[]
+        )
 
     assert str(e.value) == "bad is not a package."
diff --git a/tests/test_factory.py b/tests/test_factory.py
index 98be739d2..b6d9cc34c 100644
--- a/tests/test_factory.py
+++ b/tests/test_factory.py
@@ -366,8 +366,8 @@ def test_create_poetry_with_packages_and_includes() -> None:
     ]
 
     assert package.include == [
-        {"path": "extra_dir/vcs_excluded.py", "format": []},
-        {"path": "notes.txt", "format": []},
+        {"path": "extra_dir/vcs_excluded.py", "format": ["sdist", "wheel"]},
+        {"path": "notes.txt"},
     ]