diff --git a/app/client/src/widgets/DatePickerWidget2/widget/derived.js b/app/client/src/widgets/DatePickerWidget2/widget/derived.js
index cda0937f7e31..e3ace7250e46 100644
--- a/app/client/src/widgets/DatePickerWidget2/widget/derived.js
+++ b/app/client/src/widgets/DatePickerWidget2/widget/derived.js
@@ -1,31 +1,50 @@
 /* eslint-disable @typescript-eslint/no-unused-vars*/
 export default {
   isValidDate: (props, moment, _) => {
-    const minDate = new Date(props.minDate);
-    const maxDate = new Date(props.maxDate);
-    const selectedDate =
-      props.selectedDate !== ""
-        ? moment(new Date(props.selectedDate))
-        : props.selectedDate;
-    let dateValid = true;
-
-    if (!!props.minDate && !!props.maxDate) {
-      dateValid = !!selectedDate
-        ? selectedDate.isBetween(minDate, maxDate)
-        : !props.isRequired;
-    } else if (!!props.minDate) {
-      dateValid = !!selectedDate
-        ? selectedDate.isAfter(minDate)
-        : !props.isRequired;
-    } else if (!!props.maxDate) {
-      dateValid = !!selectedDate
-        ? selectedDate.isBefore(maxDate)
-        : !props.isRequired;
-    } else {
-      dateValid = props.isRequired ? !!selectedDate : true;
+    if (!props.selectedDate && !props.isRequired) {
+      return true;
     }
 
-    return dateValid;
+    const minDate = props.minDate ? new Date(props.minDate) : null;
+    const maxDate = props.maxDate ? new Date(props.maxDate) : null;
+    const selectedDate = props.selectedDate
+      ? moment(new Date(props.selectedDate))
+      : props.selectedDate;
+
+    if (!selectedDate) {
+      return !props.isRequired;
+    }
+
+    let granularity,
+      inclusivity = "[]";
+
+    switch (props.timePrecision) {
+      case "None":
+        granularity = "day";
+        break;
+      case "second":
+      case "minute":
+      case "millisecond":
+        granularity = props.timePrecision;
+        break;
+      default:
+        granularity = undefined;
+        inclusivity = undefined;
+    }
+
+    if (minDate && maxDate) {
+      return selectedDate.isBetween(minDate, maxDate, granularity, inclusivity);
+    }
+
+    if (minDate) {
+      return selectedDate.isSameOrAfter(minDate, granularity);
+    }
+
+    if (maxDate) {
+      return selectedDate.isSameOrBefore(maxDate, granularity);
+    }
+
+    return true;
   },
   //
 };
diff --git a/app/client/src/widgets/DatePickerWidget2/widget/derived.test.js b/app/client/src/widgets/DatePickerWidget2/widget/derived.test.js
index 820d4f2e10e4..f52aaf962c60 100644
--- a/app/client/src/widgets/DatePickerWidget2/widget/derived.test.js
+++ b/app/client/src/widgets/DatePickerWidget2/widget/derived.test.js
@@ -86,4 +86,124 @@ describe("Validates Derived Properties", () => {
 
     expect(result).toStrictEqual(false);
   });
+  describe("timePrecision", () => {
+    it("should fail when selectedDate minute is outside bounds", () => {
+      const { isValidDate } = derivedProperty;
+      const input = {
+        isRequired: true,
+        maxDate: "2021-12-01T05:49:00.000Z",
+        minDate: "2021-12-01T05:48:00.000Z",
+        selectedDate: "2021-12-01T05:50:00.000Z",
+        timePrecision: "minute",
+      };
+
+      let result = isValidDate(input, moment, _);
+
+      expect(result).toStrictEqual(false);
+    });
+
+    it("timePrecision: minute -> date is valid even if selectedDate is over by seconds", () => {
+      const { isValidDate } = derivedProperty;
+      const input = {
+        isRequired: true,
+        maxDate: "2121-12-31T18:29:00.000Z",
+        minDate: "2021-12-01T05:49:28.753Z",
+        selectedDate: "2021-12-01T05:49:24.753Z",
+        timePrecision: "minute",
+      };
+
+      let result = isValidDate(input, moment, _);
+
+      expect(result).toStrictEqual(true);
+    });
+
+    it("timePrecision: second -> date is valid even if selectedDate is over by milliseconds", () => {
+      const { isValidDate } = derivedProperty;
+      const input = {
+        isRequired: true,
+        maxDate: "2121-12-31T18:29:00.000Z",
+        minDate: "2021-12-01T05:49:24.753Z",
+        selectedDate: "2021-12-01T05:49:24.751Z",
+        timePrecision: "second",
+      };
+
+      let result = isValidDate(input, moment, _);
+
+      expect(result).toStrictEqual(true);
+    });
+
+    it("timePrecision: millisecond", () => {
+      const { isValidDate } = derivedProperty;
+      const input = {
+        isRequired: true,
+        maxDate: "2121-12-31T18:29:00.000Z",
+        minDate: "2021-12-01T05:49:24.752Z",
+        selectedDate: "2021-12-01T05:49:24.753Z",
+        timePrecision: "millisecond",
+      };
+
+      let result = isValidDate(input, moment, _);
+
+      expect(result).toStrictEqual(true);
+    });
+
+    describe("timePrecision: None", () => {
+      it("date is same as minDate", () => {
+        const { isValidDate } = derivedProperty;
+        const input = {
+          isRequired: true,
+          maxDate: "2121-12-31T18:29:00.000Z",
+          minDate: "2021-12-01T00:00:00.000Z",
+          selectedDate: "2021-12-01T00:00:00.000Z",
+          timePrecision: "None",
+        };
+
+        let result = isValidDate(input, moment, _);
+
+        expect(result).toStrictEqual(true);
+      });
+      it("date is same as maxDate", () => {
+        const { isValidDate } = derivedProperty;
+        const input = {
+          isRequired: true,
+          maxDate: "2021-12-01T00:00:00.000Z",
+          minDate: "1991-12-31T18:29:00.000Z",
+          selectedDate: "2021-12-01T00:00:00.000Z",
+          timePrecision: "None",
+        };
+
+        let result = isValidDate(input, moment, _);
+
+        expect(result).toStrictEqual(true);
+      });
+      it("date is between minDate and maxDate", () => {
+        const { isValidDate } = derivedProperty;
+        const input = {
+          isRequired: true,
+          maxDate: "2121-12-31T18:29:00.000Z",
+          minDate: "1920-12-31T18:30:00.000Z",
+          selectedDate: "2021-12-01T05:49:24.753Z",
+          timePrecision: "None",
+        };
+
+        let result = isValidDate(input, moment, _);
+
+        expect(result).toStrictEqual(true);
+      });
+      it("date is out of bounds", () => {
+        const { isValidDate } = derivedProperty;
+        const input = {
+          isRequired: true,
+          maxDate: "2021-12-31T18:29:00.000Z",
+          minDate: "1920-12-31T18:30:00.000Z",
+          selectedDate: "2022-12-01T05:49:24.753Z",
+          timePrecision: "None",
+        };
+
+        let result = isValidDate(input, moment, _);
+
+        expect(result).toStrictEqual(false);
+      });
+    });
+  });
 });