diff --git a/lms/djangoapps/courseware/tests/test_comprehensive_theming.py b/lms/djangoapps/courseware/tests/test_comprehensive_theming.py
index ec734fec1d..752eb81030 100644
--- a/lms/djangoapps/courseware/tests/test_comprehensive_theming.py
+++ b/lms/djangoapps/courseware/tests/test_comprehensive_theming.py
@@ -71,3 +71,18 @@ class TestComprehensiveTheming(TestCase):
     def test_overridden_logo_image(self):
         result = staticfiles.finders.find('images/logo.png')
         self.assertEqual(result, settings.REPO_ROOT / 'themes/red-theme/lms/static/images/logo.png')
+
+    def test_default_favicon(self):
+        """
+        Test default favicon is served if no theme is applied
+        """
+        result = staticfiles.finders.find('images/favicon.ico')
+        self.assertEqual(result, settings.REPO_ROOT / 'lms/static/images/favicon.ico')
+
+    @with_comprehensive_theme(settings.REPO_ROOT / 'themes/red-theme')
+    def test_overridden_favicon(self):
+        """
+        Test comprehensive theme override on favicon image.
+        """
+        result = staticfiles.finders.find('images/favicon.ico')
+        self.assertEqual(result, settings.REPO_ROOT / 'themes/red-theme/lms/static/images/favicon.ico')
diff --git a/openedx/core/djangoapps/theming/core.py b/openedx/core/djangoapps/theming/core.py
index ee3e854103..9203cc5c1f 100644
--- a/openedx/core/djangoapps/theming/core.py
+++ b/openedx/core/djangoapps/theming/core.py
@@ -45,10 +45,6 @@ def comprehensive_theme_changes(theme_dir):
     if locale_dir.isdir():
         changes['settings']['LOCALE_PATHS'] = [locale_dir] + settings.LOCALE_PATHS
 
-    favicon = component_dir / "static" / "images" / "favicon.ico"
-    if favicon.isfile():
-        changes['settings']['FAVICON_PATH'] = str(favicon)
-
     return changes
 
 
diff --git a/themes/red-theme/lms/static/images/favicon.ico b/themes/red-theme/lms/static/images/favicon.ico
new file mode 100644
index 0000000000..5e784977e6
Binary files /dev/null and b/themes/red-theme/lms/static/images/favicon.ico differ