diff --git a/erpnext/stock/report/item_prices/test_item_prices.py b/erpnext/stock/report/item_prices/test_item_prices.py
new file mode 100644
index 00000000000..d77b5f60716
--- /dev/null
+++ b/erpnext/stock/report/item_prices/test_item_prices.py
@@ -0,0 +1,63 @@
+# Copyright (c) 2026, Frappe Technologies Pvt. Ltd. and Contributors
+# See license.txt
+
+import frappe
+
+from erpnext.stock.doctype.item.test_item import make_item
+from erpnext.stock.report.item_prices.item_prices import execute
+from erpnext.tests.utils import ERPNextTestSuite
+
+# Positional columns returned by the report (it returns string-format columns,
+# not dicts, so rows are plain lists indexed by position).
+ITEM_CODE = 0
+SALES_PRICE_LIST = 8
+PURCHASE_PRICE_LIST = 9
+
+
+class TestItemPrices(ERPNextTestSuite):
+	"""Correctness tests for the Item Prices report."""
+
+	def run_report(self, **extra):
+		filters = frappe._dict({"items": "Enabled Items only", **extra})
+		return execute(filters)[1]
+
+	def row_for(self, data, item_code):
+		for row in data:
+			if row[ITEM_CODE] == item_code:
+				return row
+		self.fail(f"No report row found for item {item_code}")
+
+	def test_item_selling_price_listed(self):
+		"""A Standard Selling Item Price shows up in the Sales Price List column."""
+		item = make_item(properties={"is_stock_item": 1}).name
+		frappe.get_doc(
+			{
+				"doctype": "Item Price",
+				"item_code": item,
+				"price_list": "Standard Selling",
+				"price_list_rate": 250,
+			}
+		).insert()
+
+		row = self.row_for(self.run_report(), item)
+		self.assertIn("250.0", row[SALES_PRICE_LIST])
+		self.assertIn("Standard Selling", row[SALES_PRICE_LIST])
+		# A selling price must not leak into the buying column.
+		self.assertFalse(row[PURCHASE_PRICE_LIST])
+
+	def test_item_buying_price_listed(self):
+		"""A Standard Buying Item Price shows up in the Purchase Price List column."""
+		item = make_item(properties={"is_stock_item": 1}).name
+		frappe.get_doc(
+			{
+				"doctype": "Item Price",
+				"item_code": item,
+				"price_list": "Standard Buying",
+				"price_list_rate": 175,
+			}
+		).insert()
+
+		row = self.row_for(self.run_report(), item)
+		self.assertIn("175.0", row[PURCHASE_PRICE_LIST])
+		self.assertIn("Standard Buying", row[PURCHASE_PRICE_LIST])
+		self.assertFalse(row[SALES_PRICE_LIST])