diff --git a/.changeset/chilly-owls-wonder.md b/.changeset/chilly-owls-wonder.md
new file mode 100644
index 000000000..1afeb806f
--- /dev/null
+++ b/.changeset/chilly-owls-wonder.md
@@ -0,0 +1,5 @@
+---
+'vee-validate': patch
+---
+
+fix: reset form should merge values closes #4320
diff --git a/packages/vee-validate/src/useForm.ts b/packages/vee-validate/src/useForm.ts
index bda87359b..395b0743b 100644
--- a/packages/vee-validate/src/useForm.ts
+++ b/packages/vee-validate/src/useForm.ts
@@ -1050,8 +1050,8 @@ function useFormInitialValues<TValues extends GenericObject>(
   const originalInitialValues = ref<PartialDeep<TValues>>(deepCopy(values)) as Ref<PartialDeep<TValues>>;
 
   function setInitialValues(values: PartialDeep<TValues>, updateFields = false) {
-    initialValues.value = deepCopy(values);
-    originalInitialValues.value = deepCopy(values);
+    initialValues.value = merge(deepCopy(initialValues.value) || {}, deepCopy(values));
+    originalInitialValues.value = merge(deepCopy(originalInitialValues.value) || {}, deepCopy(values));
 
     if (!updateFields) {
       return;
diff --git a/packages/vee-validate/tests/useForm.spec.ts b/packages/vee-validate/tests/useForm.spec.ts
index be9578e16..ab77c777d 100644
--- a/packages/vee-validate/tests/useForm.spec.ts
+++ b/packages/vee-validate/tests/useForm.spec.ts
@@ -719,6 +719,33 @@ describe('useForm()', () => {
     expect(meta.validated).toBe(false);
   });
 
+  // #4320
+  test('Initial values are merged with previous values to ensure meta.dirty is stable', async () => {
+    let meta!: Ref<FieldMeta<any>>;
+
+    mountWithHoc({
+      setup() {
+        const { resetForm, meta: fm } = useForm();
+        useField('name');
+        useField('email');
+
+        meta = fm;
+
+        onMounted(() => {
+          resetForm({ values: { name: 'test' } });
+        });
+
+        return {};
+      },
+      template: `
+        <div></div>
+      `,
+    });
+
+    await flushPromises();
+    expect(meta.value.dirty).toBe(false);
+  });
+
   // #3991
   test('initial value should not be mutable if nested field model is used', async () => {
     let model!: Ref<{ name: string }>;