diff --git a/.changeset/soft-beers-sit.md b/.changeset/soft-beers-sit.md
new file mode 100644
index 00000000000..35701cc0040
--- /dev/null
+++ b/.changeset/soft-beers-sit.md
@@ -0,0 +1,5 @@
+---
+'@clerk/shared': patch
+---
+
+Support `keepPreviousData` behaviour in the internal React Query variant of `useSubscription`.
diff --git a/packages/shared/src/react/hooks/__tests__/useSubscription.spec.tsx b/packages/shared/src/react/hooks/__tests__/useSubscription.spec.tsx
index f4c5e7d0750..96cd2870280 100644
--- a/packages/shared/src/react/hooks/__tests__/useSubscription.spec.tsx
+++ b/packages/shared/src/react/hooks/__tests__/useSubscription.spec.tsx
@@ -1,6 +1,7 @@
 import { renderHook, waitFor } from '@testing-library/react';
 import { beforeEach, describe, expect, it, vi } from 'vitest';
 
+import { createDeferredPromise } from '../../../utils/createDeferredPromise';
 import { useSubscription } from '../useSubscription';
 import { createMockClerk, createMockOrganization, createMockQueryClient, createMockUser } from './mocks/clerk';
 import { wrapper } from './wrapper';
@@ -144,4 +145,72 @@ describe('useSubscription', () => {
     expect(getSubscriptionSpy).toHaveBeenCalledTimes(1);
     expect(result.current.isFetching).toBe(false);
   });
+
+  it('retains previous data while refetching when keepPreviousData=true', async () => {
+    const { result, rerender } = renderHook(
+      ({ orgId, keepPreviousData }) => {
+        mockOrganization = createMockOrganization({ id: orgId });
+        return useSubscription({ for: 'organization', keepPreviousData });
+      },
+      {
+        wrapper,
+        initialProps: { orgId: 'org_1', keepPreviousData: true },
+      },
+    );
+
+    await waitFor(() => expect(result.current.isLoading).toBe(false));
+    expect(result.current.data).toEqual({ id: 'sub_org_org_1' });
+
+    const deferred = createDeferredPromise();
+    getSubscriptionSpy.mockImplementationOnce(() => deferred.promise as Promise<{ id: string }>);
+
+    rerender({ orgId: 'org_2', keepPreviousData: true });
+
+    await waitFor(() => expect(result.current.isFetching).toBe(true));
+
+    // Slight difference in behavior between SWR and React Query, but acceptable for the migration.
+    if (__CLERK_USE_RQ__) {
+      await waitFor(() => expect(result.current.isLoading).toBe(false));
+    } else {
+      await waitFor(() => expect(result.current.isLoading).toBe(true));
+    }
+    expect(result.current.data).toEqual({ id: 'sub_org_org_1' });
+
+    deferred.resolve({ id: 'sub_org_org_2' });
+
+    await waitFor(() => expect(result.current.data).toEqual({ id: 'sub_org_org_2' }));
+    expect(getSubscriptionSpy).toHaveBeenCalledTimes(2);
+  });
+
+  it('clears data while refetching when keepPreviousData=false', async () => {
+    const { result, rerender } = renderHook(
+      ({ orgId, keepPreviousData }) => {
+        mockOrganization = createMockOrganization({ id: orgId });
+        return useSubscription({ for: 'organization', keepPreviousData });
+      },
+      {
+        wrapper,
+        initialProps: { orgId: 'org_1', keepPreviousData: false },
+      },
+    );
+
+    await waitFor(() => expect(result.current.isLoading).toBe(false));
+    expect(result.current.data).toEqual({ id: 'sub_org_org_1' });
+
+    const deferred = createDeferredPromise();
+    getSubscriptionSpy.mockImplementationOnce(() => deferred.promise as Promise<{ id: string }>);
+
+    rerender({ orgId: 'org_2', keepPreviousData: false });
+
+    await waitFor(() => expect(result.current.isFetching).toBe(true));
+    expect(result.current.isLoading).toBe(true);
+    expect(result.current.data).toBeUndefined();
+
+    deferred.resolve({ id: 'sub_org_org_2' });
+
+    await waitFor(() => expect(result.current.isFetching).toBe(false));
+    expect(result.current.data).toEqual({ id: 'sub_org_org_2' });
+    expect(result.current.isLoading).toBe(false);
+    expect(getSubscriptionSpy).toHaveBeenCalledTimes(2);
+  });
 });
diff --git a/packages/shared/src/react/hooks/createBillingPaginatedHook.tsx b/packages/shared/src/react/hooks/createBillingPaginatedHook.tsx
index cefb606e1fc..870b0428018 100644
--- a/packages/shared/src/react/hooks/createBillingPaginatedHook.tsx
+++ b/packages/shared/src/react/hooks/createBillingPaginatedHook.tsx
@@ -105,8 +105,10 @@ export function createBillingPaginatedHook<TResource extends ClerkResource, TPar
       (hookParams || {}) as TParams,
       fetchFn,
       {
-        keepPreviousData: safeValues.keepPreviousData,
-        infinite: safeValues.infinite,
+        ...({
+          keepPreviousData: safeValues.keepPreviousData,
+          infinite: safeValues.infinite,
+        } as PaginatedHookConfig<unknown>),
         enabled: isEnabled,
         ...(options?.unauthenticated ? {} : { isSignedIn: Boolean(user) }),
         __experimental_mode: safeValues.__experimental_mode,
diff --git a/packages/shared/src/react/hooks/usePagesOrInfinite.rq.tsx b/packages/shared/src/react/hooks/usePagesOrInfinite.rq.tsx
index c7a2770b037..cdc77b2bed2 100644
--- a/packages/shared/src/react/hooks/usePagesOrInfinite.rq.tsx
+++ b/packages/shared/src/react/hooks/usePagesOrInfinite.rq.tsx
@@ -11,6 +11,13 @@ import type { UsePagesOrInfiniteSignature } from './usePageOrInfinite.types';
 import { getDifferentKeys, useWithSafeValues } from './usePagesOrInfinite.shared';
 import { usePreviousValue } from './usePreviousValue';
 
+/**
+ * @internal
+ */
+function KeepPreviousDataFn<Data>(previousData: Data): Data {
+  return previousData;
+}
+
 export const usePagesOrInfinite: UsePagesOrInfiniteSignature = (params, fetcher, config, cacheKeys) => {
   const [paginatedPage, setPaginatedPage] = useState(params.initialPage ?? 1);
 
@@ -65,7 +72,7 @@ export const usePagesOrInfinite: UsePagesOrInfiniteSignature = (params, fetcher,
     staleTime: 60_000,
     enabled: queriesEnabled && !triggerInfinite,
     // Use placeholderData to keep previous data while fetching new page
-    placeholderData: keepPreviousData ? previousData => previousData : undefined,
+    placeholderData: keepPreviousData ? KeepPreviousDataFn : undefined,
   });
 
   // Infinite mode: accumulate pages
diff --git a/packages/shared/src/react/hooks/useSubscription.rq.tsx b/packages/shared/src/react/hooks/useSubscription.rq.tsx
index 3722086d711..d6a117f27cb 100644
--- a/packages/shared/src/react/hooks/useSubscription.rq.tsx
+++ b/packages/shared/src/react/hooks/useSubscription.rq.tsx
@@ -14,6 +14,13 @@ import type { SubscriptionResult, UseSubscriptionParams } from './useSubscriptio
 
 const HOOK_NAME = 'useSubscription';
 
+/**
+ * @internal
+ */
+function KeepPreviousDataFn<Data>(previousData: Data): Data {
+  return previousData;
+}
+
 /**
  * This is the new implementation of useSubscription using React Query.
  * It is exported only if the package is build with the `CLERK_USE_RQ` environment variable set to `true`.
@@ -36,6 +43,7 @@ export function useSubscription(params?: UseSubscriptionParams): SubscriptionRes
   const billingEnabled = isOrganization
     ? environment?.commerceSettings.billing.organization.enabled
     : environment?.commerceSettings.billing.user.enabled;
+  const keepPreviousData = params?.keepPreviousData ?? false;
 
   const [queryClient] = useClerkQueryClient();
 
@@ -59,7 +67,7 @@ export function useSubscription(params?: UseSubscriptionParams): SubscriptionRes
     },
     staleTime: 1_000 * 60,
     enabled: queriesEnabled,
-    // TODO(@RQ_MIGRATION): Add support for keepPreviousData
+    placeholderData: keepPreviousData && queriesEnabled ? KeepPreviousDataFn : undefined,
   });
 
   const revalidate = useCallback(() => queryClient.invalidateQueries({ queryKey }), [queryClient, queryKey]);