diff --git a/src/API.jl b/src/API.jl
index f584e558f7..2375d85851 100644
--- a/src/API.jl
+++ b/src/API.jl
@@ -194,47 +194,26 @@ for f in (:develop, :add, :rm, :up, :pin, :free, :test, :build, :status, :why, :
     end
 end
 
+
 function update_source_if_set(env, pkg)
     project = env.project
     source = get(project.sources, pkg.name, nothing)
     if source !== nothing
-        if pkg.repo == GitRepo()
-            delete!(project.sources, pkg.name)
-        else
-            # This should probably not modify the dicts directly...
-            if pkg.repo.source !== nothing
-                source["url"] = pkg.repo.source
-                delete!(source, "path")
-            end
-            if pkg.repo.rev !== nothing
-                source["rev"] = pkg.repo.rev
-                delete!(source, "path")
-            end
-            if pkg.repo.subdir !== nothing
-                source["subdir"] = pkg.repo.subdir
-            end
-            if pkg.path !== nothing
-                source["path"] = pkg.path
-                delete!(source, "url")
-                delete!(source, "rev")
-            end
+        # This should probably not modify the dicts directly...
+        if pkg.repo.source !== nothing
+            source["url"] = pkg.repo.source
         end
-        if pkg.subdir !== nothing
-            source["subdir"] = pkg.subdir
+        if pkg.repo.rev !== nothing
+            source["rev"] = pkg.repo.rev
+        end
+        if pkg.path !== nothing
+            source["path"] = pkg.path
         end
+
         path, repo = get_path_repo(project, env.project_file, env.manifest_file, pkg.name)
         if path !== nothing
             pkg.path = path
         end
-        if repo.source !== nothing
-            pkg.repo.source = repo.source
-        end
-        if repo.rev !== nothing
-            pkg.repo.rev = repo.rev
-        end
-        if repo.subdir !== nothing
-            pkg.repo.subdir = repo.subdir
-        end
     end
 
     # Packages in manifest should have their paths set to the path in the manifest
diff --git a/src/Types.jl b/src/Types.jl
index e2edde47bf..60f411ec42 100644
--- a/src/Types.jl
+++ b/src/Types.jl
@@ -1299,19 +1299,6 @@ function write_env(
                 @assert entry.repo.subdir == repo.subdir
             end
         end
-        if entry !== nothing
-            if entry.path !== nothing
-                # Convert path from manifest-relative to project-relative before writing
-                project_relative_path = manifest_path_to_project_path(env.project_file, env.manifest_file, entry.path)
-                env.project.sources[pkg] = Dict("path" => project_relative_path)
-            elseif entry.repo != GitRepo()
-                d = Dict{String, String}()
-                entry.repo.source !== nothing && (d["url"] = entry.repo.source)
-                entry.repo.rev !== nothing && (d["rev"] = entry.repo.rev)
-                entry.repo.subdir !== nothing && (d["subdir"] = entry.repo.subdir)
-                env.project.sources[pkg] = d
-            end
-        end
     end
     if (env.project != env.original_project) && (!skip_writing_project)
         write_project(env)
diff --git a/test/sources.jl b/test/sources.jl
index 4d6010ffa6..c28dca21fe 100644
--- a/test/sources.jl
+++ b/test/sources.jl
@@ -21,7 +21,7 @@ temp_pkg_dir() do project_path
                     cp("Project.toml.bak", "Project.toml"; force = true)
                     cp("BadManifest.toml", "Manifest.toml"; force = true)
                     Pkg.resolve()
-                    @test Pkg.project().sources["Example"] == Dict("rev" => "master", "url" => "https://github.com/JuliaLang/Example.jl")
+                    @test Pkg.project().sources["Example"] == Dict("url" => "https://github.com/JuliaLang/Example.jl")
                     @test Pkg.project().sources["LocalPkg"] == Dict("path" => "LocalPkg")
                 end
             end
@@ -49,6 +49,18 @@ temp_pkg_dir() do project_path
                     Pkg.test()
                 end
             end
+
+            @testset "Don't add paths or URLs to sources in v1.12" begin
+                # Test that we're not creating sources when dev-ing
+                Pkg.generate("A")
+                Pkg.generate("B")
+                Pkg.activate("A")
+                Pkg.develop(path = "B")
+                @test isempty(Pkg.project().sources)
+
+                Pkg.add(url = "https://github.com/JuliaLang/Example.jl", rev = "master")
+                @test isempty(Pkg.project().sources)
+            end
         end
     end
 end