diff --git a/Towny/src/main/java/com/palmergames/bukkit/config/ConfigNodes.java b/Towny/src/main/java/com/palmergames/bukkit/config/ConfigNodes.java
index 6dcd40cb03..45a45a1b10 100644
--- a/Towny/src/main/java/com/palmergames/bukkit/config/ConfigNodes.java
+++ b/Towny/src/main/java/com/palmergames/bukkit/config/ConfigNodes.java
@@ -1070,6 +1070,13 @@ public enum ConfigNodes {
 			"# treated as normal nation members when plot perms are calculated.",
 			"# When set to false plot permission tests will treat conquered towns' residents as not members of their nations,",
 			"# preventing them from using their host nation's plots while the nation's towns have nation plot perms enabled."),
+	GNATION_SETTINGS_CAN_CONQUERED_TOWNS_BE_SANCTIONED_FROM_NATION_BONUS(
+			"global_nation_settings.can_conquered_towns_be_sanctioned_from_nation_bonus",
+			"true",
+			"",
+			"# While true, conquered towns can be sanctioned by the nation who conquered them,",
+			"# and, if sanctioned, will not receive nation bonus blocks from the nation who conquered and sanctioned them.",
+			"# When set to false, conquered towns will always receive nation bonus, and cannot be sanctioned by the conquerer nation"),
 	GNATION_SETTINGS_PROXIMITY_ROOT(
 			"global_nation_settings.proximity", "", ""),
 	GNATION_SETTINGS_NATION_PROXIMITY_TO_CAPITAL(
diff --git a/Towny/src/main/java/com/palmergames/bukkit/towny/TownySettings.java b/Towny/src/main/java/com/palmergames/bukkit/towny/TownySettings.java
index 66b2d0009c..a44c9dbd1b 100644
--- a/Towny/src/main/java/com/palmergames/bukkit/towny/TownySettings.java
+++ b/Towny/src/main/java/com/palmergames/bukkit/towny/TownySettings.java
@@ -1384,7 +1384,8 @@ else if (isDeletingOldResidents() && isDeletingOldResidentsRemovingTownOnly() &&
 			amount += numResidents * ratio;
 
 		final Nation nation = town.getNationOrNull();
-		if (nation != null) {
+		// Do not add nation bonus blocks if nation is null or if config setting and sanctioned and conquered are all true
+		if (nation != null && !(TownySettings.canConqueredTownsBeSanctionedFromNationBonus() && town.getNationOrNull().hasSanctionedTown(town) && town.isConquered())) {
 			amount += getNationBonusBlocks(nation, nationLevelModifier);
 		}
 
@@ -1455,7 +1456,9 @@ public static int getNationBonusBlocks(Nation nation, int modifier) {
 	public static int getNationBonusBlocks(Town town) {
 
 		if (town.hasNation())
-			return getNationBonusBlocks(town.getNationOrNull());
+			// Do not add nation bonus blocks if config setting and sanctioned and conquered are all true
+			if (!(TownySettings.canConqueredTownsBeSanctionedFromNationBonus() && town.getNationOrNull().hasSanctionedTown(town) && town.isConquered()))
+				return getNationBonusBlocks(town.getNationOrNull());
 		return 0;
 	}
 
@@ -3894,6 +3897,10 @@ public static boolean areConqueredTownsGivenNationPlotPerms() {
 		return getBoolean(ConfigNodes.GNATION_SETTINGS_ARE_CONQUERED_TOWNS_GIVEN_NATION_PLOT_PERMS);
 	}
 	
+	public static boolean canConqueredTownsBeSanctionedFromNationBonus() {
+		return getBoolean(ConfigNodes.GNATION_SETTINGS_CAN_CONQUERED_TOWNS_BE_SANCTIONED_FROM_NATION_BONUS);
+	}
+
 	public static String getBankHistoryBookFormat() {
 		return getString(ConfigNodes.BANKHISTORY_BOOK);
 	}
diff --git a/Towny/src/main/java/com/palmergames/bukkit/towny/command/NationCommand.java b/Towny/src/main/java/com/palmergames/bukkit/towny/command/NationCommand.java
index de5049e948..42dc36c1e2 100644
--- a/Towny/src/main/java/com/palmergames/bukkit/towny/command/NationCommand.java
+++ b/Towny/src/main/java/com/palmergames/bukkit/towny/command/NationCommand.java
@@ -273,7 +273,8 @@ else if (args.length == 3)
 					if (args.length == 3 && (args[1].equalsIgnoreCase("add") || args[1].equalsIgnoreCase("remove")))
 						return NameUtil.filterByStart(TownyUniverse.getInstance().getTowns()
 							.stream()
-							.filter(t -> !nation.hasTown(t))
+							// Town is invalid tab complete if it is in the nation and not applicable to be sanctioned
+							.filter(t -> !(nation.hasTown(t) && !(TownySettings.canConqueredTownsBeSanctionedFromNationBonus() && t.isConquered())))
 							.map(Town::getName)
 							.collect(Collectors.toList()), args[2]);
 					if (args.length == 3 && args[1].equalsIgnoreCase("list"))
@@ -1447,7 +1448,8 @@ private static void nationSanctionTownList(CommandSender sender, Nation nation)
 	}
 
 	private static void nationSanctionTownAdd(CommandSender sender, Nation nation, Town town) throws TownyException {
-		if (nation.hasTown(town))
+		// You cannot sanction a town in your nation unless the config setting is true and the town is conquered by you.
+		if (nation.hasTown(town) && !(TownySettings.canConqueredTownsBeSanctionedFromNationBonus() && town.isConquered()))
 			throw new TownyException(Translatable.of("msg_err_nation_cannot_sanction_own_town"));
 
 		if (nation.hasSanctionedTown(town))
@@ -1457,7 +1459,12 @@ private static void nationSanctionTownAdd(CommandSender sender, Nation nation, T
 
 		nation.addSanctionedTown(town);
 		nation.save();
-		TownyMessaging.sendMsg(sender, Translatable.of("msg_err_nation_town_sanctioned", town.getName()));
+		if (nation.hasTown(town)) {
+			// At this point, if nation has the town, it therefore must be a conquered town, so send the conquered town variant of the sanction message
+			TownyMessaging.sendMsg(sender, Translatable.of("msg_err_nation_conquered_town_sanctioned", town.getName()));
+		} else {
+			TownyMessaging.sendMsg(sender, Translatable.of("msg_err_nation_town_sanctioned", town.getName()));
+		}
 	}
 
 	private static void nationSactionTownRemove(CommandSender sender, Nation nation, Town town) throws TownyException {
diff --git a/Towny/src/main/resources/lang/en-US.yml b/Towny/src/main/resources/lang/en-US.yml
index 5f1c140270..bc093e54ab 100644
--- a/Towny/src/main/resources/lang/en-US.yml
+++ b/Towny/src/main/resources/lang/en-US.yml
@@ -2492,6 +2492,8 @@ msg_err_nation_town_already_sanctioned: "Your nation already sanctions that town
 
 msg_err_nation_town_sanctioned: "Your nation has now sanctioned %s, they will not be allowed to join your nation."
 
+msg_err_nation_conquered_town_sanctioned: "Your nation has now sanctioned %s, they will not receive nation bonus from your nation."
+
 msg_err_nation_town_unsanctioned: "Your nation is no longer sanctioning %s."
 
 msg_err_nation_has_no_sanctioned_towns: "The nation has no sanctioned towns."