diff --git a/packages/dd-trace/src/config.js b/packages/dd-trace/src/config.js
index a604dc1cbe4..eccc9af67bb 100644
--- a/packages/dd-trace/src/config.js
+++ b/packages/dd-trace/src/config.js
@@ -321,7 +321,10 @@ class Config {
       false
     )
     const DD_TRACE_SPAN_ATTRIBUTE_SCHEMA = validateNamingVersion(
-      process.env.DD_TRACE_SPAN_ATTRIBUTE_SCHEMA
+      coalesce(
+        options.spanAttributeSchema,
+        process.env.DD_TRACE_SPAN_ATTRIBUTE_SCHEMA
+      )
     )
     const DD_TRACE_PEER_SERVICE_MAPPING = coalesce(
       options.peerServiceMapping,
@@ -329,11 +332,27 @@ class Config {
         process.env.DD_TRACE_PEER_SERVICE_MAPPING.split(',').map(x => x.trim().split(':'))
       ) : {}
     )
-    const DD_TRACE_PEER_SERVICE_DEFAULTS_ENABLED = process.env.DD_TRACE_PEER_SERVICE_DEFAULTS_ENABLED
+
+    const peerServiceSet = (
+      options.hasOwnProperty('spanComputePeerService') ||
+      process.env.hasOwnProperty('DD_TRACE_PEER_SERVICE_DEFAULTS_ENABLED')
+    )
+    const peerServiceValue = coalesce(
+      options.spanComputePeerService,
+      process.env.DD_TRACE_PEER_SERVICE_DEFAULTS_ENABLED
+    )
+
+    const DD_TRACE_PEER_SERVICE_DEFAULTS_ENABLED = (
+      DD_TRACE_SPAN_ATTRIBUTE_SCHEMA === 'v0'
+        // In v0, peer service is computed only if it is explicitly set to true
+        ? peerServiceSet && isTrue(peerServiceValue)
+        // In >v0, peer service is false only if it is explicitly set to false
+        : (peerServiceSet ? !isFalse(peerServiceValue) : true)
+    )
 
     const DD_TRACE_REMOVE_INTEGRATION_SERVICE_NAMES_ENABLED = coalesce(
-      isTrue(process.env.DD_TRACE_REMOVE_INTEGRATION_SERVICE_NAMES_ENABLED),
-      false
+      options.spanRemoveIntegrationFromService,
+      isTrue(process.env.DD_TRACE_REMOVE_INTEGRATION_SERVICE_NAMES_ENABLED)
     )
     const DD_TRACE_X_DATADOG_TAGS_MAX_LENGTH = coalesce(
       process.env.DD_TRACE_X_DATADOG_TAGS_MAX_LENGTH,
@@ -565,11 +584,8 @@ ken|consumer_?(?:id|key|secret)|sign(?:ed|ature)?|auth(?:entication|orization)?)
       exporters: DD_PROFILING_EXPORTERS
     }
     this.spanAttributeSchema = DD_TRACE_SPAN_ATTRIBUTE_SCHEMA
-    this.spanComputePeerService = (this.spanAttributeSchema === 'v0'
-      ? isTrue(DD_TRACE_PEER_SERVICE_DEFAULTS_ENABLED)
-      : true
-    )
-    this.traceRemoveIntegrationServiceNamesEnabled = DD_TRACE_REMOVE_INTEGRATION_SERVICE_NAMES_ENABLED
+    this.spanComputePeerService = DD_TRACE_PEER_SERVICE_DEFAULTS_ENABLED
+    this.spanRemoveIntegrationFromService = DD_TRACE_REMOVE_INTEGRATION_SERVICE_NAMES_ENABLED
     this.peerServiceMapping = DD_TRACE_PEER_SERVICE_MAPPING
     this.lookup = options.lookup
     this.startupLogs = isTrue(DD_TRACE_STARTUP_LOGS)
diff --git a/packages/dd-trace/src/service-naming/index.js b/packages/dd-trace/src/service-naming/index.js
index a3b184e4049..7de60eacfda 100644
--- a/packages/dd-trace/src/service-naming/index.js
+++ b/packages/dd-trace/src/service-naming/index.js
@@ -3,7 +3,7 @@ const { schemaDefinitions } = require('./schemas')
 class SchemaManager {
   constructor () {
     this.schemas = schemaDefinitions
-    this.config = { spanAttributeSchema: 'v0', traceRemoveIntegrationServiceNamesEnabled: false }
+    this.config = { spanAttributeSchema: 'v0', spanRemoveIntegrationFromService: false }
   }
 
   get schema () {
@@ -15,7 +15,7 @@ class SchemaManager {
   }
 
   get shouldUseConsistentServiceNaming () {
-    return this.config.traceRemoveIntegrationServiceNamesEnabled && this.version === 'v0'
+    return this.config.spanRemoveIntegrationFromService && this.version === 'v0'
   }
 
   opName (type, kind, plugin, ...opNameArgs) {
diff --git a/packages/dd-trace/test/config.spec.js b/packages/dd-trace/test/config.spec.js
index f80aee05e7c..04b3d056da7 100644
--- a/packages/dd-trace/test/config.spec.js
+++ b/packages/dd-trace/test/config.spec.js
@@ -93,7 +93,7 @@ describe('Config', () => {
     expect(config).to.have.property('traceId128BitLoggingEnabled', false)
     expect(config).to.have.property('spanAttributeSchema', 'v0')
     expect(config).to.have.property('spanComputePeerService', false)
-    expect(config).to.have.property('traceRemoveIntegrationServiceNamesEnabled', false)
+    expect(config).to.have.property('spanRemoveIntegrationFromService', false)
     expect(config).to.have.deep.property('serviceMapping', {})
     expect(config).to.have.nested.deep.property('tracePropagationStyle.inject', ['tracecontext', 'datadog'])
     expect(config).to.have.nested.deep.property('tracePropagationStyle.extract', ['tracecontext', 'datadog'])
@@ -195,6 +195,8 @@ describe('Config', () => {
     process.env.DD_TRACE_EXPERIMENTAL_GET_RUM_DATA_ENABLED = 'true'
     process.env.DD_TRACE_EXPERIMENTAL_INTERNAL_ERRORS_ENABLED = 'true'
     process.env.DD_TRACE_SPAN_ATTRIBUTE_SCHEMA = 'v1'
+    process.env.DD_TRACE_PEER_SERVICE_DEFAULTS_ENABLED = 'true'
+    process.env.DD_TRACE_REMOVE_INTEGRATION_SERVICE_NAMES_ENABLED = 'true'
     process.env.DD_TRACE_REMOVE_INTEGRATION_SERVICE_NAMES_ENABLED = true
     process.env.DD_APPSEC_ENABLED = 'true'
     process.env.DD_APPSEC_RULES = RULES_JSON_PATH
@@ -237,6 +239,8 @@ describe('Config', () => {
     expect(config).to.have.property('traceId128BitGenerationEnabled', true)
     expect(config).to.have.property('traceId128BitLoggingEnabled', true)
     expect(config).to.have.property('spanAttributeSchema', 'v1')
+    expect(config).to.have.property('spanRemoveIntegrationFromService', true)
+    expect(config).to.have.property('spanComputePeerService', true)
     expect(config.tags).to.include({ foo: 'bar', baz: 'qux' })
     expect(config.tags).to.include({ service: 'service', 'version': '1.0.0', 'env': 'test' })
     expect(config).to.have.deep.nested.property('sampler', {
@@ -372,6 +376,12 @@ describe('Config', () => {
         { service: 'mysql', sampleRate: 1.0 },
         { sampleRate: 0.1 }
       ],
+      spanAttributeSchema: 'v1',
+      spanComputePeerService: true,
+      spanRemoveIntegrationFromService: true,
+      peerServiceMapping: {
+        d: 'dd'
+      },
       serviceMapping: {
         a: 'aa',
         b: 'bb'
@@ -437,6 +447,9 @@ describe('Config', () => {
     expect(config).to.have.property('logLevel', logLevel)
     expect(config).to.have.property('traceId128BitGenerationEnabled', true)
     expect(config).to.have.property('traceId128BitLoggingEnabled', true)
+    expect(config).to.have.property('spanRemoveIntegrationFromService', true)
+    expect(config).to.have.property('spanComputePeerService', true)
+    expect(config).to.have.deep.property('peerServiceMapping', { d: 'dd' })
     expect(config).to.have.property('tags')
     expect(config.tags).to.have.property('foo', 'bar')
     expect(config.tags).to.have.property('runtime-id')
@@ -536,13 +549,52 @@ describe('Config', () => {
   it('should warn if defaulting to v0 span attribute schema', () => {
     process.env.DD_TRACE_SPAN_ATTRIBUTE_SCHEMA = 'foo'
 
-    // eslint-disable-next-line no-new
     const config = new Config()
 
     expect(log.warn).to.have.been.calledWith('Unexpected input for config.spanAttributeSchema, picked default v0')
     expect(config).to.have.property('spanAttributeSchema', 'v0')
   })
 
+  context('peer service tagging', () => {
+    it('should activate peer service only if explicitly true in v0', () => {
+      process.env.DD_TRACE_SPAN_ATTRIBUTE_SCHEMA = 'v0'
+      process.env.DD_TRACE_PEER_SERVICE_DEFAULTS_ENABLED = 'true'
+      let config = new Config()
+      expect(config).to.have.property('spanComputePeerService', true)
+
+      process.env.DD_TRACE_PEER_SERVICE_DEFAULTS_ENABLED = 'foo'
+      config = new Config()
+      expect(config).to.have.property('spanComputePeerService', false)
+
+      process.env.DD_TRACE_PEER_SERVICE_DEFAULTS_ENABLED = 'false'
+      config = new Config()
+      expect(config).to.have.property('spanComputePeerService', false)
+
+      delete process.env.DD_TRACE_PEER_SERVICE_DEFAULTS_ENABLED
+      config = new Config()
+      expect(config).to.have.property('spanComputePeerService', false)
+    })
+
+    it('should activate peer service in v1 unless explicitly false', () => {
+      process.env.DD_TRACE_SPAN_ATTRIBUTE_SCHEMA = 'v1'
+      process.env.DD_TRACE_PEER_SERVICE_DEFAULTS_ENABLED = 'false'
+      let config = new Config()
+      expect(config).to.have.property('spanComputePeerService', false)
+
+      process.env.DD_TRACE_PEER_SERVICE_DEFAULTS_ENABLED = 'foo'
+      config = new Config()
+      expect(config).to.have.property('spanComputePeerService', true)
+
+      process.env.DD_TRACE_PEER_SERVICE_DEFAULTS_ENABLED = 'true'
+      config = new Config()
+      expect(config).to.have.property('spanComputePeerService', true)
+
+      delete process.env.DD_TRACE_PEER_SERVICE_DEFAULTS_ENABLED
+      config = new Config()
+      expect(config).to.have.property('spanComputePeerService', true)
+    })
+  })
+
   it('should give priority to the common agent environment variable', () => {
     process.env.DD_TRACE_AGENT_HOSTNAME = 'trace-agent'
     process.env.DD_AGENT_HOST = 'agent'
@@ -572,6 +624,9 @@ describe('Config', () => {
     process.env.DD_ENV = 'test'
     process.env.DD_API_KEY = '123'
     process.env.DD_APP_KEY = '456'
+    process.env.DD_TRACE_SPAN_ATTRIBUTE_SCHEMA = 'v0'
+    process.env.DD_TRACE_PEER_SERVICE_DEFAULTS_ENABLED = 'false'
+    process.env.DD_TRACE_REMOVE_INTEGRATION_SERVICE_NAMES_ENABLED = 'false'
     process.env.DD_TRACE_CLIENT_IP_ENABLED = 'false'
     process.env.DD_TRACE_CLIENT_IP_HEADER = 'foo-bar-header'
     process.env.DD_TRACE_GLOBAL_TAGS = 'foo:bar,baz:qux'
@@ -620,6 +675,9 @@ describe('Config', () => {
       serviceMapping: {
         b: 'bb'
       },
+      spanAttributeSchema: 'v1',
+      spanComputePeerService: true,
+      spanRemoveIntegrationFromService: true,
       peerServiceMapping: {
         d: 'dd'
       },
@@ -677,6 +735,9 @@ describe('Config', () => {
     expect(config.tags).to.include({ foo: 'foo', baz: 'qux' })
     expect(config.tags).to.include({ service: 'test', version: '1.0.0', env: 'development' })
     expect(config).to.have.deep.property('serviceMapping', { b: 'bb' })
+    expect(config).to.have.property('spanAttributeSchema', 'v1')
+    expect(config).to.have.property('spanRemoveIntegrationFromService', true)
+    expect(config).to.have.property('spanComputePeerService', true)
     expect(config).to.have.deep.property('peerServiceMapping', { d: 'dd' })
     expect(config).to.have.nested.deep.property('tracePropagationStyle.inject', [])
     expect(config).to.have.nested.deep.property('tracePropagationStyle.extract', [])
diff --git a/packages/dd-trace/test/setup/mocha.js b/packages/dd-trace/test/setup/mocha.js
index ff1262303d9..3ad86a99c1d 100644
--- a/packages/dd-trace/test/setup/mocha.js
+++ b/packages/dd-trace/test/setup/mocha.js
@@ -86,7 +86,7 @@ function withNamingSchema (spanProducerFn, expectedOpName, expectedServiceName,
         Nomenclature.configure({
           spanAttributeSchema: 'v0',
           service: fullConfig.service,
-          traceRemoveIntegrationServiceNamesEnabled: true
+          spanRemoveIntegrationFromService: true
         })
       })
       after(() => {