diff --git a/images/virt-artifact/werf.inc.yaml b/images/virt-artifact/werf.inc.yaml
index 50ef78fb33..bc91d72a54 100644
--- a/images/virt-artifact/werf.inc.yaml
+++ b/images/virt-artifact/werf.inc.yaml
@@ -2,7 +2,7 @@
 # Source https://github.com/kubevirt/kubevirt/blob/v1.3.1/hack/dockerized#L15
 {{- $gitRepoName := "3p-kubevirt" }}
 {{- $gitRepoUrl := (printf "%s/%s" "deckhouse" $gitRepoName) }}
-{{- $tag := get $.Core $gitRepoName }}
+{{- $tag := "feat/core/virt-launcher-quota-exclude" }}
 {{- $version := (split "-" $tag)._0 }}
 
 ---
@@ -13,8 +13,10 @@ secrets:
 - id: SOURCE_REPO
   value: {{ $.SOURCE_REPO }}
 shell:
+  installCacheVersion: "{{ now | date "Mon Jan 2 15:04:05 MST 2006" }}"
   install:
   - |
+    echo "$date"
     echo "Git clone {{ $gitRepoName }} repository..."
     git clone --depth=1 $(cat /run/secrets/SOURCE_REPO)/{{ $gitRepoUrl }} --branch {{ $tag }} /src/kubevirt
 
diff --git a/images/virtualization-artifact/pkg/common/annotations/annotations.go b/images/virtualization-artifact/pkg/common/annotations/annotations.go
index 64af0ead86..420f530e5c 100644
--- a/images/virtualization-artifact/pkg/common/annotations/annotations.go
+++ b/images/virtualization-artifact/pkg/common/annotations/annotations.go
@@ -175,6 +175,10 @@ const (
 	QuotaExcludeValue = "true"
 	// QuotaExcludeLabel provides a constant  for exclude quota label.
 	QuotaExcludeLabel = "resource-quota-overrides.deckhouse.io/ignore"
+	// QuotaDiscountCPU provides a constant for discount CPU from quota annotation.
+	QuotaDiscountCPU = "resource-quota-overrides.deckhouse.io/discount-cpu"
+	// QuotaDiscountMemory provides a constant for discount Memory from quota annotation.
+	QuotaDiscountMemory = "resource-quota-overrides.deckhouse.io/discount-memory"
 
 	// InhibitNodeShutdownLabel is a label to prevent node shutdown is Pod with label is present.
 	InhibitNodeShutdownLabel = "pod.deckhouse.io/inhibit-node-shutdown"
diff --git a/images/virtualization-artifact/pkg/controller/vm/internal/migrating.go b/images/virtualization-artifact/pkg/controller/vm/internal/migrating.go
index 310c8b58f7..71f11fab3f 100644
--- a/images/virtualization-artifact/pkg/controller/vm/internal/migrating.go
+++ b/images/virtualization-artifact/pkg/controller/vm/internal/migrating.go
@@ -26,8 +26,11 @@ import (
 	corev1 "k8s.io/api/core/v1"
 	metav1 "k8s.io/apimachinery/pkg/apis/meta/v1"
 	virtv1 "kubevirt.io/api/core/v1"
+	"sigs.k8s.io/controller-runtime/pkg/client"
 	"sigs.k8s.io/controller-runtime/pkg/reconcile"
 
+	"github.com/deckhouse/deckhouse/pkg/log"
+	"github.com/deckhouse/virtualization-controller/pkg/common/annotations"
 	commonvmop "github.com/deckhouse/virtualization-controller/pkg/common/vmop"
 	"github.com/deckhouse/virtualization-controller/pkg/controller/conditions"
 	"github.com/deckhouse/virtualization-controller/pkg/controller/service"
@@ -46,11 +49,13 @@ type migratingVolumesService interface {
 	GetVirtualDiskNamesWithUnreadyTarget(ctx context.Context, s state.VirtualMachineState) ([]string, error)
 }
 type MigratingHandler struct {
+	client client.Client
 	migratingVolumesService migratingVolumesService
 }
 
-func NewMigratingHandler(migratingVolumesService migratingVolumesService) *MigratingHandler {
+func NewMigratingHandler(client client.Client, migratingVolumesService migratingVolumesService) *MigratingHandler {
 	return &MigratingHandler{
+		client: client,
 		migratingVolumesService: migratingVolumesService,
 	}
 }
@@ -260,6 +265,25 @@ func (h *MigratingHandler) syncMigrating(ctx context.Context, s state.VirtualMac
 
 	if liveMigrationSucceeded(vm.Status.MigrationState) {
 		conditions.RemoveCondition(vmcondition.TypeMigrating, &vm.Status.Conditions)
+
+		pod, err := s.Pod(ctx)
+		if err != nil {
+			return err
+		}
+
+		if pod.Name != vm.Status.MigrationState.Target.Pod {
+			log.Error("Migration target pod is not the same as the pod from status")
+			return nil
+		}
+
+		if pod != nil {
+			delete(pod.Labels, annotations.QuotaExcludeLabel)
+			err = h.client.Update(ctx, pod)
+			if err != nil {
+				return err
+			}
+		}
+
 		return nil
 	}
 
diff --git a/images/virtualization-artifact/pkg/controller/vm/internal/migrating_test.go b/images/virtualization-artifact/pkg/controller/vm/internal/migrating_test.go
index e412ad68c2..7771439ffb 100644
--- a/images/virtualization-artifact/pkg/controller/vm/internal/migrating_test.go
+++ b/images/virtualization-artifact/pkg/controller/vm/internal/migrating_test.go
@@ -92,7 +92,7 @@ var _ = Describe("MigratingHandler", func() {
 	}
 
 	reconcile := func() {
-		h := NewMigratingHandler(vmservice.NewMigrationVolumesService(fakeClient, MakeKVVMFromVMSpec, 10*time.Second))
+		h := NewMigratingHandler(fakeClient, vmservice.NewMigrationVolumesService(fakeClient, MakeKVVMFromVMSpec, 10*time.Second))
 		_, err := h.Handle(ctx, vmState)
 		Expect(err).NotTo(HaveOccurred())
 		err = resource.Update(context.Background())
diff --git a/images/virtualization-artifact/pkg/controller/vm/internal/sync_metadata.go b/images/virtualization-artifact/pkg/controller/vm/internal/sync_metadata.go
index 7c2cb40094..f0d8b73642 100644
--- a/images/virtualization-artifact/pkg/controller/vm/internal/sync_metadata.go
+++ b/images/virtualization-artifact/pkg/controller/vm/internal/sync_metadata.go
@@ -165,6 +165,8 @@ func PropagateVMMetadata(vm *v1alpha2.VirtualMachine, kvvm *virtv1.VirtualMachin
 		vm.GetLabels(),
 		map[string]string{
 			annotations.InhibitNodeShutdownLabel: "",
+			annotations.QuotaDiscountCPU:         vm.Status.Resources.CPU.RuntimeOverhead.String(),
+			annotations.QuotaDiscountMemory:      vm.Status.Resources.Memory.RuntimeOverhead.String(),
 		},
 	)
 	newLabels, labelsChanged := merger.ApplyMapChanges(destObj.GetLabels(), lastPropagatedLabels, propagateLabels)
diff --git a/images/virtualization-artifact/pkg/controller/vm/vm_controller.go b/images/virtualization-artifact/pkg/controller/vm/vm_controller.go
index 1cd2ad4433..5567c91944 100644
--- a/images/virtualization-artifact/pkg/controller/vm/vm_controller.go
+++ b/images/virtualization-artifact/pkg/controller/vm/vm_controller.go
@@ -76,7 +76,7 @@ func SetupController(
 		internal.NewSyncPowerStateHandler(client, recorder),
 		internal.NewSyncMetadataHandler(client),
 		internal.NewLifeCycleHandler(client, recorder),
-		internal.NewMigratingHandler(migrateVolumesService),
+		internal.NewMigratingHandler(client, migrateVolumesService),
 		internal.NewFirmwareHandler(firmwareImage),
 		internal.NewEvictHandler(),
 		internal.NewStatisticHandler(client),