diff --git a/lms/djangoapps/courseware/module_render.py b/lms/djangoapps/courseware/module_render.py
index d3ef4d5ea7..828419d55a 100644
--- a/lms/djangoapps/courseware/module_render.py
+++ b/lms/djangoapps/courseware/module_render.py
@@ -364,21 +364,6 @@ def display_access_messages(user, block, view, frag, context):  # pylint: disabl
     return msg_fragment
 
 
-def get_xqueue_callback_url_prefix(request):
-    """
-    Calculates default prefix based on request, but allows override via settings
-
-    This is separated from get_module_for_descriptor so that it can be called
-    by the LMS before submitting background tasks to run.  The xqueue callbacks
-    should go back to the LMS, not to the worker.
-    """
-    prefix = '{proto}://{host}'.format(
-        proto=request.META.get('HTTP_X_FORWARDED_PROTO', 'https' if request.is_secure() else 'http'),
-        host=request.get_host()
-    )
-    return settings.XQUEUE_INTERFACE.get('callback_url', prefix)
-
-
 # pylint: disable=too-many-statements
 def get_module_for_descriptor(user, request, descriptor, field_data_cache, course_key,
                               position=None, wrap_xmodule_display=True, grade_bucket_type=None,
@@ -392,7 +377,6 @@ def get_module_for_descriptor(user, request, descriptor, field_data_cache, cours
     See get_module() docstring for further details.
     """
     track_function = make_track_function(request)
-    xqueue_callback_url_prefix = get_xqueue_callback_url_prefix(request)
 
     user_location = getattr(request, 'session', {}).get('country_code')
 
@@ -407,7 +391,6 @@ def get_module_for_descriptor(user, request, descriptor, field_data_cache, cours
         student_data=student_data,
         course_id=course_key,
         track_function=track_function,
-        xqueue_callback_url_prefix=xqueue_callback_url_prefix,
         position=position,
         wrap_xmodule_display=wrap_xmodule_display,
         grade_bucket_type=grade_bucket_type,
@@ -427,7 +410,6 @@ def get_module_system_for_user(
         descriptor,
         course_id,
         track_function,
-        xqueue_callback_url_prefix,
         request_token,
         position=None,
         wrap_xmodule_display=True,
@@ -471,6 +453,7 @@ def get_module_system_for_user(
                 dispatch=dispatch
             ),
         )
+        xqueue_callback_url_prefix = settings.XQUEUE_INTERFACE.get('callback_url', settings.LMS_ROOT_URL)
         return xqueue_callback_url_prefix + relative_xqueue_callback_url
 
     # Default queuename is course-specific and is derived from the course that
@@ -501,7 +484,6 @@ def get_module_system_for_user(
             student_data=student_data,
             course_id=course_id,
             track_function=track_function,
-            xqueue_callback_url_prefix=xqueue_callback_url_prefix,
             position=position,
             wrap_xmodule_display=wrap_xmodule_display,
             grade_bucket_type=grade_bucket_type,
@@ -660,7 +642,6 @@ def get_module_system_for_user(
             descriptor=module,
             course_id=course_id,
             track_function=track_function,
-            xqueue_callback_url_prefix=xqueue_callback_url_prefix,
             position=position,
             wrap_xmodule_display=wrap_xmodule_display,
             grade_bucket_type=grade_bucket_type,
@@ -845,7 +826,7 @@ def get_module_system_for_user(
 # TODO: Find all the places that this method is called and figure out how to
 # get a loaded course passed into it
 def get_module_for_descriptor_internal(user, descriptor, student_data, course_id,
-                                       track_function, xqueue_callback_url_prefix, request_token,
+                                       track_function, request_token,
                                        position=None, wrap_xmodule_display=True, grade_bucket_type=None,
                                        static_asset_path='', user_location=None, disable_staff_debug_info=False,
                                        course=None, will_recheck_access=False):
@@ -864,7 +845,6 @@ def get_module_for_descriptor_internal(user, descriptor, student_data, course_id
         descriptor=descriptor,
         course_id=course_id,
         track_function=track_function,
-        xqueue_callback_url_prefix=xqueue_callback_url_prefix,
         position=position,
         wrap_xmodule_display=wrap_xmodule_display,
         grade_bucket_type=grade_bucket_type,
diff --git a/lms/djangoapps/courseware/tests/test_discussion_xblock.py b/lms/djangoapps/courseware/tests/test_discussion_xblock.py
index 6d6420a9df..385ec26fef 100644
--- a/lms/djangoapps/courseware/tests/test_discussion_xblock.py
+++ b/lms/djangoapps/courseware/tests/test_discussion_xblock.py
@@ -300,7 +300,6 @@ class TestXBlockInCourse(SharedModuleStoreTestCase):
             student_data=mock.Mock(name='student_data'),
             course_id=self.course.id,
             track_function=mock.Mock(name='track_function'),
-            xqueue_callback_url_prefix=mock.Mock(name='xqueue_callback_url_prefix'),
             request_token='request_token',
         )
 
@@ -321,7 +320,6 @@ class TestXBlockInCourse(SharedModuleStoreTestCase):
             student_data=mock.Mock(name='student_data'),
             course_id=self.course.id,
             track_function=mock.Mock(name='track_function'),
-            xqueue_callback_url_prefix=mock.Mock(name='xqueue_callback_url_prefix'),
             request_token='request_token',
         )
 
@@ -375,7 +373,6 @@ class TestXBlockInCourse(SharedModuleStoreTestCase):
                 student_data=mock.Mock(name='student_data'),
                 course_id=self.course.id,
                 track_function=mock.Mock(name='track_function'),
-                xqueue_callback_url_prefix=mock.Mock(name='xqueue_callback_url_prefix'),
                 request_token='request_token',
             )
 
@@ -447,7 +444,6 @@ class TestXBlockQueryLoad(SharedModuleStoreTestCase):
                 student_data=mock.Mock(name='student_data'),
                 course_id=course.id,
                 track_function=mock.Mock(name='track_function'),
-                xqueue_callback_url_prefix=mock.Mock(name='xqueue_callback_url_prefix'),
                 request_token='request_token',
             )
             with self.assertNumQueries(num_queries):
diff --git a/lms/djangoapps/courseware/tests/test_module_render.py b/lms/djangoapps/courseware/tests/test_module_render.py
index 3e138e27f9..7d2cd0b70e 100644
--- a/lms/djangoapps/courseware/tests/test_module_render.py
+++ b/lms/djangoapps/courseware/tests/test_module_render.py
@@ -1931,7 +1931,6 @@ class TestAnonymousStudentId(SharedModuleStoreTestCase, LoginEnrollmentTestCase)
             student_data=Mock(spec=FieldData, name='student_data'),
             course_id=course_id,
             track_function=Mock(name='track_function'),  # Track Function
-            xqueue_callback_url_prefix=Mock(name='xqueue_callback_url_prefix'),  # XQueue Callback Url Prefix
             request_token='request_token',
             course=self.course,
         )
@@ -2291,7 +2290,6 @@ class LMSXBlockServiceBindingTest(SharedModuleStoreTestCase):
         self.user = UserFactory()
         self.student_data = Mock()
         self.track_function = Mock()
-        self.xqueue_callback_url_prefix = Mock()
         self.request_token = Mock()
 
     @XBlock.register_temp_plugin(PureXBlock, identifier='pure')
@@ -2307,7 +2305,6 @@ class LMSXBlockServiceBindingTest(SharedModuleStoreTestCase):
             descriptor,
             self.course.id,
             self.track_function,
-            self.xqueue_callback_url_prefix,
             self.request_token,
             course=self.course
         )
@@ -2326,7 +2323,6 @@ class LMSXBlockServiceBindingTest(SharedModuleStoreTestCase):
             descriptor,
             self.course.id,
             self.track_function,
-            self.xqueue_callback_url_prefix,
             self.request_token,
             course=self.course
         )
@@ -2589,7 +2585,6 @@ class LmsModuleSystemShimTest(SharedModuleStoreTestCase):
         self.user = UserFactory(id=232)
         self.student_data = Mock()
         self.track_function = Mock()
-        self.xqueue_callback_url_prefix = 'https://lms.url'
         self.request_token = Mock()
 
     @ddt.data(
@@ -2608,7 +2603,6 @@ class LmsModuleSystemShimTest(SharedModuleStoreTestCase):
             self.descriptor,
             self.course.id,
             self.track_function,
-            self.xqueue_callback_url_prefix,
             self.request_token,
             course=self.course,
         )
@@ -2622,7 +2616,6 @@ class LmsModuleSystemShimTest(SharedModuleStoreTestCase):
             self.descriptor,
             self.course.id,
             self.track_function,
-            self.xqueue_callback_url_prefix,
             self.request_token,
             course=self.course,
         )
@@ -2650,7 +2643,6 @@ class LmsModuleSystemShimTest(SharedModuleStoreTestCase):
             self.descriptor,
             self.course.id,
             self.track_function,
-            self.xqueue_callback_url_prefix,
             self.request_token,
             course=self.course,
         )
@@ -2667,7 +2659,6 @@ class LmsModuleSystemShimTest(SharedModuleStoreTestCase):
             self.problem_descriptor,
             self.course.id,
             self.track_function,
-            self.xqueue_callback_url_prefix,
             self.request_token,
             course=self.course,
         )
@@ -2680,7 +2671,6 @@ class LmsModuleSystemShimTest(SharedModuleStoreTestCase):
             self.descriptor,
             self.course.id,
             self.track_function,
-            self.xqueue_callback_url_prefix,
             self.request_token,
             course=self.course,
         )
@@ -2697,7 +2687,6 @@ class LmsModuleSystemShimTest(SharedModuleStoreTestCase):
             self.descriptor,
             self.course.id,
             self.track_function,
-            self.xqueue_callback_url_prefix,
             self.request_token,
             course=self.course,
         )
@@ -2734,7 +2723,6 @@ class LmsModuleSystemShimTest(SharedModuleStoreTestCase):
             self.descriptor,
             self.course.id,
             self.track_function,
-            self.xqueue_callback_url_prefix,
             self.request_token,
             course=self.course,
         )
@@ -2748,14 +2736,46 @@ class LmsModuleSystemShimTest(SharedModuleStoreTestCase):
             self.descriptor,
             self.course.id,
             self.track_function,
-            self.xqueue_callback_url_prefix,
             self.request_token,
             course=self.course,
         )
         xqueue = runtime.xqueue
         assert isinstance(xqueue['interface'], XQueueInterface)
+        assert xqueue['interface'].url == 'http://sandbox-xqueue.edx.org'
         assert xqueue['default_queuename'] == 'edX-LmsModuleShimTest'
         assert xqueue['waittime'] == 5
-        callback_url = f'https://lms.url/courses/edX/LmsModuleShimTest/2021_Fall/xqueue/232/{self.descriptor.location}'
+        callback_url = ('http://localhost:8000/courses/edX/LmsModuleShimTest/2021_Fall/xqueue/232/'
+                        + str(self.descriptor.location))
+        assert xqueue['construct_callback']() == f'{callback_url}/score_update'
+        assert xqueue['construct_callback']('mock_dispatch') == f'{callback_url}/mock_dispatch'
+
+    @override_settings(
+        XQUEUE_INTERFACE={
+            'callback_url': 'http://alt.url',
+            'url': 'http://xqueue.url',
+            'django_auth': {
+                'username': 'user',
+                'password': 'password',
+            },
+            'basic_auth': ('basic', 'auth'),
+        },
+        XQUEUE_WAITTIME_BETWEEN_REQUESTS=15,
+    )
+    def test_xqueue_settings(self):
+        runtime, _ = render.get_module_system_for_user(
+            self.user,
+            self.student_data,
+            self.descriptor,
+            self.course.id,
+            self.track_function,
+            self.request_token,
+            course=self.course,
+        )
+        xqueue = runtime.xqueue
+        assert isinstance(xqueue['interface'], XQueueInterface)
+        assert xqueue['interface'].url == 'http://xqueue.url'
+        assert xqueue['default_queuename'] == 'edX-LmsModuleShimTest'
+        assert xqueue['waittime'] == 15
+        callback_url = f'http://alt.url/courses/edX/LmsModuleShimTest/2021_Fall/xqueue/232/{self.descriptor.location}'
         assert xqueue['construct_callback']() == f'{callback_url}/score_update'
         assert xqueue['construct_callback']('mock_dispatch') == f'{callback_url}/mock_dispatch'
diff --git a/lms/djangoapps/instructor_task/api_helper.py b/lms/djangoapps/instructor_task/api_helper.py
index 54345f1821..dee85ef0f2 100644
--- a/lms/djangoapps/instructor_task/api_helper.py
+++ b/lms/djangoapps/instructor_task/api_helper.py
@@ -17,7 +17,6 @@ from opaque_keys.edx.keys import UsageKey
 
 from common.djangoapps.util.db import outer_atomic
 from lms.djangoapps.courseware.courses import get_problems_in_section
-from lms.djangoapps.courseware.module_render import get_xqueue_callback_url_prefix
 from lms.djangoapps.instructor_task.models import PROGRESS, InstructorTask
 from xmodule.modulestore.django import modulestore
 
@@ -131,8 +130,7 @@ def _get_xmodule_instance_args(request, task_id):
     Calculate parameters needed for instantiating xmodule instances.
 
     The `request_info` will be passed to a tracking log function, to provide information
-    about the source of the task request.   The `xqueue_callback_url_prefix` is used to
-    permit old-style xqueue callbacks directly to the appropriate module in the LMS.
+    about the source of the task request.
     The `task_id` is also passed to the tracking log function.
     """
     request_info = {'username': request.user.username,
@@ -142,8 +140,7 @@ def _get_xmodule_instance_args(request, task_id):
                     'host': request.META['SERVER_NAME'],
                     }
 
-    xmodule_instance_args = {'xqueue_callback_url_prefix': get_xqueue_callback_url_prefix(request),
-                             'request_info': request_info,
+    xmodule_instance_args = {'request_info': request_info,
                              'task_id': task_id,
                              }
     return xmodule_instance_args
diff --git a/lms/djangoapps/instructor_task/tasks_helper/module_state.py b/lms/djangoapps/instructor_task/tasks_helper/module_state.py
index 73c94af40b..5a63836089 100644
--- a/lms/djangoapps/instructor_task/tasks_helper/module_state.py
+++ b/lms/djangoapps/instructor_task/tasks_helper/module_state.py
@@ -357,16 +357,12 @@ def _get_module_instance_for_task(course_id, student, module_descriptor, xmodule
         '''
         return lambda event_type, event: task_track(request_info, task_info, event_type, event, page='x_module_task')
 
-    xqueue_callback_url_prefix = xmodule_instance_args.get('xqueue_callback_url_prefix', '') \
-        if xmodule_instance_args is not None else ''
-
     return get_module_for_descriptor_internal(
         user=student,
         descriptor=module_descriptor,
         student_data=student_data,
         course_id=course_id,
         track_function=make_track_function(),
-        xqueue_callback_url_prefix=xqueue_callback_url_prefix,
         grade_bucket_type=grade_bucket_type,
         # This module isn't being used for front-end rendering
         request_token=None,
diff --git a/lms/djangoapps/instructor_task/tests/test_tasks.py b/lms/djangoapps/instructor_task/tests/test_tasks.py
index ead71b5c7a..589a4d6316 100644
--- a/lms/djangoapps/instructor_task/tests/test_tasks.py
+++ b/lms/djangoapps/instructor_task/tests/test_tasks.py
@@ -83,7 +83,6 @@ class TestInstructorTasks(InstructorTaskModuleTestCase):
         Calculate dummy values for parameters needed for instantiating xmodule instances.
         """
         return {
-            'xqueue_callback_url_prefix': 'dummy_value',
             'request_info': {
                 'username': 'dummy_username',
                 'user_id': 'dummy_id',