diff --git a/main/src/main/scala/sbt/Defaults.scala b/main/src/main/scala/sbt/Defaults.scala
index fad4a6a0c7..82724a3b5a 100644
--- a/main/src/main/scala/sbt/Defaults.scala
+++ b/main/src/main/scala/sbt/Defaults.scala
@@ -2393,7 +2393,7 @@ object Defaults extends BuildCommon {
         val result0 = incCompiler
           .asInstanceOf[sbt.internal.inc.IncrementalCompilerImpl]
           .compileAllJava(in, s.log)
-        reporter.sendSuccessReport(result0.analysis())
+        reporter.sendSuccessReport(result0.analysis(), Analysis.empty, false)
         result0.withHasModified(result0.hasModified || r.hasModified)
       } else r
     } catch {
@@ -2430,7 +2430,11 @@ object Defaults extends BuildCommon {
       .withSetup(onProgress(setup))
     try {
       val result = incCompiler.compile(i, s.log)
-      reporter.sendSuccessReport(result.getAnalysis, prev)
+      reporter.sendSuccessReport(
+        result.getAnalysis,
+        prev,
+        BuildServerProtocol.shouldReportAllPreviousProblems(task.targetId)
+      )
       result
     } catch {
       case e: Throwable =>
diff --git a/main/src/main/scala/sbt/internal/server/BuildServerProtocol.scala b/main/src/main/scala/sbt/internal/server/BuildServerProtocol.scala
index 0c6655e2df..1cfae2054d 100644
--- a/main/src/main/scala/sbt/internal/server/BuildServerProtocol.scala
+++ b/main/src/main/scala/sbt/internal/server/BuildServerProtocol.scala
@@ -39,11 +39,26 @@ import scala.collection.mutable
 import scala.util.control.NonFatal
 import scala.util.{ Failure, Success, Try }
 import scala.annotation.nowarn
+import scala.collection.concurrent.TrieMap
 import sbt.testing.Framework
 
 object BuildServerProtocol {
   import sbt.internal.bsp.codec.JsonProtocol._
 
+  /**
+   * Keep track of those projects that were compiled at least once so that we can
+   * decide to enable fresh reporting for projects that are compiled for the first time.
+   *
+   * see: https://github.com/scalacenter/bloop/issues/726
+   */
+  private val compiledTargetsAtLeastOnce = new TrieMap[bsp.BuildTargetIdentifier, Boolean]()
+  def shouldReportAllPreviousProblems(id: bsp.BuildTargetIdentifier): Boolean = {
+    compiledTargetsAtLeastOnce.putIfAbsent(id, true) match {
+      case Some(_) => false
+      case None    => true
+    }
+  }
+
   private val capabilities = BuildServerCapabilities(
     CompileProvider(BuildServerConnection.languages),
     TestProvider(BuildServerConnection.languages),
@@ -354,6 +369,7 @@ object BuildServerProtocol {
           case r if r.method == Method.Initialize =>
             val params = Converter.fromJson[InitializeBuildParams](json(r)).get
             checkMetalsCompatibility(semanticdbEnabled, semanticdbVersion, params, callback.log)
+            compiledTargetsAtLeastOnce.clear()
 
             val response = InitializeBuildResult(
               "sbt",
diff --git a/main/src/main/scala/sbt/internal/server/BuildServerReporter.scala b/main/src/main/scala/sbt/internal/server/BuildServerReporter.scala
index 8184b090cc..98d59d6457 100644
--- a/main/src/main/scala/sbt/internal/server/BuildServerReporter.scala
+++ b/main/src/main/scala/sbt/internal/server/BuildServerReporter.scala
@@ -38,7 +38,11 @@ sealed trait BuildServerReporter extends Reporter {
 
   protected def publishDiagnostic(problem: Problem): Unit
 
-  def sendSuccessReport(analysis: CompileAnalysis, prev: CompileAnalysis): Unit
+  def sendSuccessReport(
+      analysis: CompileAnalysis,
+      prev: CompileAnalysis,
+      reportAllPreviousProblems: Boolean
+  ): Unit
 
   def sendFailureReport(sources: Array[VirtualFile]): Unit
 
@@ -86,7 +90,11 @@ final class BuildServerReporterImpl(
     if (ref.id().contains("<")) None
     else Some(converter.toPath(ref))
 
-  override def sendSuccessReport(analysis: CompileAnalysis, prev: CompileAnalysis): Unit = {
+  override def sendSuccessReport(
+      analysis: CompileAnalysis,
+      prev: CompileAnalysis,
+      reportAllPreviousProblems: Boolean
+  ): Unit = {
     val prevInfos = prev.readSourceInfos().getAllSourceInfos().asScala
     for {
       (source, infos) <- analysis.readSourceInfos.getAllSourceInfos.asScala
@@ -94,8 +102,9 @@ final class BuildServerReporterImpl(
     } {
       val prevProblems = prevInfos.get(source).map(_.getReportedProblems()).getOrElse(Array.empty)
       val dontPublish = prevProblems.length == 0 && infos.getReportedProblems().length == 0
+      val shouldPublish = reportAllPreviousProblems || !dontPublish
 
-      if (!dontPublish) {
+      if (shouldPublish) {
         val diagnostics = infos.getReportedProblems.toSeq.flatMap(toDiagnostic)
         val params = PublishDiagnosticsParams(
           textDocument = TextDocumentIdentifier(filePath.toUri),
@@ -185,7 +194,11 @@ final class BuildServerForwarder(
     protected override val underlying: Reporter
 ) extends BuildServerReporter {
 
-  override def sendSuccessReport(analysis: CompileAnalysis, prev: CompileAnalysis): Unit = ()
+  override def sendSuccessReport(
+      analysis: CompileAnalysis,
+      prev: CompileAnalysis,
+      reportAllPreviousProblems: Boolean
+  ): Unit = ()
 
   override def sendFailureReport(sources: Array[VirtualFile]): Unit = ()