diff --git a/pkg/app/app.go b/pkg/app/app.go
index 95a0bf3d..f6450f54 100644
--- a/pkg/app/app.go
+++ b/pkg/app/app.go
@@ -169,6 +169,7 @@ func (a *App) Diff(c DiffConfigProvider) error {
 			IncludeCRDs:            &includeCRDs,
 			Validate:               c.Validate(),
 			Concurrency:            c.Concurrency(),
+			IncludeNeeds:           c.IncludeNeeds(),
 			IncludeTransitiveNeeds: c.IncludeTransitiveNeeds(),
 		}, func() {
 			msg, matched, affected, errs = a.diff(run, c)
diff --git a/pkg/state/state.go b/pkg/state/state.go
index a9d0ade7..ece35a8d 100644
--- a/pkg/state/state.go
+++ b/pkg/state/state.go
@@ -1819,7 +1819,7 @@ func (st *HelmState) PrepareCharts(helm helmexec.Interface, dir string, concurre
 		}
 		*st = *updated
 	}
-	selected, err := st.GetSelectedReleases(opts.IncludeTransitiveNeeds)
+	selected, err := st.GetSelectedReleasesWithNeeds(opts.IncludeNeeds, opts.IncludeTransitiveNeeds)
 	if err != nil {
 		return nil, []error{err}
 	}
@@ -3116,6 +3116,31 @@ func (st *HelmState) GetSelectedReleases(includeTransitiveNeeds bool) ([]Release
 	return releases, nil
 }
 
+func (st *HelmState) GetSelectedReleasesWithNeeds(includeNeeds bool, includeTransitiveNeeds bool) ([]ReleaseSpec, error) {
+	var filteredReleases []Release
+	var err error
+
+	if includeTransitiveNeeds {
+		filteredReleases, err = st.SelectReleases(true)
+	} else if includeNeeds {
+		filteredReleases, err = st.SelectReleasesWithNeeds(false)
+	} else {
+		filteredReleases, err = st.SelectReleases(false)
+	}
+
+	if err != nil {
+		return nil, err
+	}
+	var releases []ReleaseSpec
+	for _, r := range filteredReleases {
+		if !r.Filtered {
+			releases = append(releases, r.ReleaseSpec)
+		}
+	}
+
+	return releases, nil
+}
+
 // FilterReleases allows for the execution of helm commands against a subset of the releases in the helmfile.
 func (st *HelmState) FilterReleases(includeTransitiveNeeds bool) error {
 	releases, err := st.GetSelectedReleases(includeTransitiveNeeds)