diff --git a/docs/changelog/1207.bugfix.rst b/docs/changelog/1207.bugfix.rst
new file mode 100644
index 00000000..4b2a9e8e
--- /dev/null
+++ b/docs/changelog/1207.bugfix.rst
@@ -0,0 +1,2 @@
+Isolated build environment dependency overrides were not taken in consideration (and such it inherited the deps
+from the testenv section) - by :user:`gaborbernat`
diff --git a/src/tox/config/__init__.py b/src/tox/config/__init__.py
index d894beba..5380814c 100644
--- a/src/tox/config/__init__.py
+++ b/src/tox/config/__init__.py
@@ -1130,14 +1130,13 @@ class ParseIni(object):
         config.isolated_build_env = reader.getstring("isolated_build_env", ".package")
         if config.isolated_build is True:
             name = config.isolated_build_env
-            if name not in config.envconfigs:
-                section_name = "testenv:{}".format(name)
-                if name not in self._cfg.sections:
-                    self._cfg.sections[section_name] = {}
-                self._cfg.sections[section_name]["description"] = "isolated packaging environment"
-                config.envconfigs[name] = self.make_envconfig(
-                    name, "{}{}".format(testenvprefix, name), reader._subs, config
-                )
+            section_name = "testenv:{}".format(name)
+            if section_name not in self._cfg.sections:
+                self._cfg.sections[section_name] = {}
+            self._cfg.sections[section_name]["description"] = "isolated packaging environment"
+            config.envconfigs[name] = self.make_envconfig(
+                name, "{}{}".format(testenvprefix, name), reader._subs, config
+            )
 
     def _list_section_factors(self, section):
         factors = set()

[BUG] 3.8.0 broke something about specifying deps with -rfilename.txt
This is broken on the mypy project (https://github.com/python/mypy) right now.

An example failure is: https://ci.appveyor.com/project/gvanrossum/mypy/builds/23408864
diff --git a/tests/unit/config/test_config.py b/tests/unit/config/test_config.py
index 22fd6e93..d717a7bb 100644
--- a/tests/unit/config/test_config.py
+++ b/tests/unit/config/test_config.py
@@ -2930,6 +2930,22 @@ def test_isolated_build_env_cannot_be_in_envlist(newconfig, capsys):
     assert not out
 
 
+def test_isolated_build_overrides(newconfig, capsys):
+    inisource = """
+            [tox]
+            isolated_build = True
+
+            [testenv]
+            deps = something crazy here
+
+            [testenv:.package]
+            deps =
+        """
+    config = newconfig([], inisource)
+    deps = config.envconfigs.get(".package").deps
+    assert deps == []
+
+
 def test_config_via_pyproject_legacy(initproj):
     initproj(
         "config_via_pyproject_legacy-0.5",

pip install -e .[dev]
parse_log_pytest
pytest
pytest
3.7
pytest --no-header -rA --tb=line --color=no -p no:cacheprovider -W ignore::DeprecationWarning
attrs @ file:///croot/attrs_1668696182826/work
certifi @ file:///croot/certifi_1671487769961/work/certifi
distlib==0.3.9
filelock==3.12.2
flit_core @ file:///opt/conda/conda-bld/flit-core_1644941570762/work/source/flit_core
importlib-metadata==6.7.0
iniconfig @ file:///home/linux1/recipes/ci/iniconfig_1610983019677/work
packaging @ file:///croot/packaging_1671697413597/work
platformdirs==4.0.0
pluggy==0.13.1
py @ file:///opt/conda/conda-bld/py_1644396412707/work
pytest==7.1.2
six==1.17.0
toml==0.10.2
tomli @ file:///opt/conda/conda-bld/tomli_1657175507142/work
-e git+https://github.com/tox-dev/tox.git@41a41166c5b3fd8a7702fd2758fabb041a93e24e#egg=tox
typing_extensions==4.7.1
virtualenv==20.26.6
zipp @ file:///croot/zipp_1672387121353/work

name: tox
channels:
  - defaults
  - https://repo.anaconda.com/pkgs/main
  - https://repo.anaconda.com/pkgs/r
  - conda-forge
dependencies:
  - _libgcc_mutex=0.1=main
  - _openmp_mutex=5.1=1_gnu
  - attrs=22.1.0=py37h06a4308_0
  - ca-certificates=2025.2.25=h06a4308_0
  - certifi=2022.12.7=py37h06a4308_0
  - flit-core=3.6.0=pyhd3eb1b0_0
  - importlib_metadata=4.11.3=hd3eb1b0_0
  - iniconfig=1.1.1=pyhd3eb1b0_0
  - ld_impl_linux-64=2.40=h12ee557_0
  - libffi=3.4.4=h6a678d5_1
  - libgcc-ng=11.2.0=h1234567_1
  - libgomp=11.2.0=h1234567_1
  - libstdcxx-ng=11.2.0=h1234567_1
  - ncurses=6.4=h6a678d5_0
  - openssl=1.1.1w=h7f8727e_0
  - packaging=22.0=py37h06a4308_0
  - pip=22.3.1=py37h06a4308_0
  - py=1.11.0=pyhd3eb1b0_0
  - pytest=7.1.2=py37h06a4308_0
  - python=3.7.16=h7a1cb2a_0
  - readline=8.2=h5eee18b_0
  - setuptools=65.6.3=py37h06a4308_0
  - sqlite=3.45.3=h5eee18b_0
  - tk=8.6.14=h39e8969_0
  - tomli=2.0.1=py37h06a4308_0
  - wheel=0.38.4=py37h06a4308_0
  - xz=5.6.4=h5eee18b_1
  - zipp=3.11.0=py37h06a4308_0
  - zlib=1.2.13=h5eee18b_1
  - pip:
      - distlib==0.3.9
      - filelock==3.12.2
      - importlib-metadata==6.7.0
      - platformdirs==4.0.0
      - pluggy==0.13.1
      - six==1.17.0
      - toml==0.10.2
      - tox==3.8.1.dev2+g41a41166
      - typing-extensions==4.7.1
      - virtualenv==20.26.6
prefix: /opt/conda/envs/tox

tests/unit/config/test_config.py::test_isolated_build_overrides
tests/unit/config/test_config.py::TestVenvConfig::test_force_dep_with_url tests/unit/config/test_config.py::TestConfigTestEnv::test_default_factors_conflict_lying_name tests/unit/config/test_config.py::TestConfigTestEnv::test_default_single_digit_factors tests/unit/config/test_config.py::TestConfigTestEnv::test_default_factors_conflict_ignore
tests/unit/config/test_config.py::TestVenvConfig::test_config_parsing_minimal tests/unit/config/test_config.py::TestVenvConfig::test_config_parsing_multienv tests/unit/config/test_config.py::TestVenvConfig::test_envdir_set_manually tests/unit/config/test_config.py::TestVenvConfig::test_envdir_set_manually_with_substitutions tests/unit/config/test_config.py::TestVenvConfig::test_force_dep_version tests/unit/config/test_config.py::TestVenvConfig::test_process_deps tests/unit/config/test_config.py::TestVenvConfig::test_is_same_dep tests/unit/config/test_config.py::TestConfigPlatform::test_config_parse_platform tests/unit/config/test_config.py::TestConfigPlatform::test_config_parse_platform_rex tests/unit/config/test_config.py::TestConfigPlatform::test_config_parse_platform_with_factors[win] tests/unit/config/test_config.py::TestConfigPlatform::test_config_parse_platform_with_factors[lin] tests/unit/config/test_config.py::TestConfigPlatform::test_config_parse_platform_with_factors[osx] tests/unit/config/test_config.py::TestConfigPackage::test_defaults tests/unit/config/test_config.py::TestConfigPackage::test_defaults_distshare tests/unit/config/test_config.py::TestConfigPackage::test_defaults_changed_dir tests/unit/config/test_config.py::TestConfigPackage::test_project_paths tests/unit/config/test_config.py::TestParseconfig::test_search_parents tests/unit/config/test_config.py::TestParseconfig::test_explicit_config_path tests/unit/config/test_config.py::TestParseconfig::test_workdir_gets_resolved tests/unit/config/test_config.py::test_get_homedir tests/unit/config/test_config.py::TestGetcontextname::test_blank tests/unit/config/test_config.py::TestGetcontextname::test_jenkins tests/unit/config/test_config.py::TestGetcontextname::test_hudson_legacy tests/unit/config/test_config.py::TestIniParserAgainstCommandsKey::test_command_substitution_from_other_section tests/unit/config/test_config.py::TestIniParserAgainstCommandsKey::test_command_substitution_from_other_section_multiline tests/unit/config/test_config.py::TestIniParserAgainstCommandsKey::test_command_substitution_from_other_section_posargs tests/unit/config/test_config.py::TestIniParserAgainstCommandsKey::test_command_section_and_posargs_substitution tests/unit/config/test_config.py::TestIniParserAgainstCommandsKey::test_command_env_substitution tests/unit/config/test_config.py::TestIniParserAgainstCommandsKey::test_command_env_substitution_global tests/unit/config/test_config.py::TestIniParserAgainstCommandsKey::test_regression_issue595 tests/unit/config/test_config.py::TestIniParser::test_getstring_single tests/unit/config/test_config.py::TestIniParser::test_missing_substitution tests/unit/config/test_config.py::TestIniParser::test_getstring_fallback_sections tests/unit/config/test_config.py::TestIniParser::test_getstring_substitution tests/unit/config/test_config.py::TestIniParser::test_getlist tests/unit/config/test_config.py::TestIniParser::test_getdict tests/unit/config/test_config.py::TestIniParser::test_normal_env_sub_works tests/unit/config/test_config.py::TestIniParser::test_missing_env_sub_raises_config_error_in_non_testenv tests/unit/config/test_config.py::TestIniParser::test_missing_env_sub_populates_missing_subs tests/unit/config/test_config.py::TestIniParser::test_getstring_environment_substitution_with_default tests/unit/config/test_config.py::TestIniParser::test_value_matches_section_substitution tests/unit/config/test_config.py::TestIniParser::test_value_doesn_match_section_substitution tests/unit/config/test_config.py::TestIniParser::test_getstring_other_section_substitution tests/unit/config/test_config.py::TestIniParser::test_argvlist tests/unit/config/test_config.py::TestIniParser::test_argvlist_windows_escaping tests/unit/config/test_config.py::TestIniParser::test_argvlist_multiline tests/unit/config/test_config.py::TestIniParser::test_argvlist_quoting_in_command tests/unit/config/test_config.py::TestIniParser::test_argvlist_comment_after_command tests/unit/config/test_config.py::TestIniParser::test_argvlist_command_contains_hash tests/unit/config/test_config.py::TestIniParser::test_argvlist_positional_substitution tests/unit/config/test_config.py::TestIniParser::test_argvlist_quoted_posargs tests/unit/config/test_config.py::TestIniParser::test_argvlist_posargs_with_quotes tests/unit/config/test_config.py::TestIniParser::test_positional_arguments_are_only_replaced_when_standing_alone tests/unit/config/test_config.py::TestIniParser::test_posargs_are_added_escaped_issue310 tests/unit/config/test_config.py::TestIniParser::test_substitution_with_multiple_words tests/unit/config/test_config.py::TestIniParser::test_getargv tests/unit/config/test_config.py::TestIniParser::test_getpath tests/unit/config/test_config.py::TestIniParser::test_getbool tests/unit/config/test_config.py::TestIniParserPrefix::test_basic_section_access tests/unit/config/test_config.py::TestIniParserPrefix::test_fallback_sections tests/unit/config/test_config.py::TestIniParserPrefix::test_value_matches_prefixed_section_substitution tests/unit/config/test_config.py::TestIniParserPrefix::test_value_doesn_match_prefixed_section_substitution tests/unit/config/test_config.py::TestIniParserPrefix::test_other_section_substitution tests/unit/config/test_config.py::TestConfigTestEnv::test_commentchars_issue33 tests/unit/config/test_config.py::TestConfigTestEnv::test_defaults tests/unit/config/test_config.py::TestConfigTestEnv::test_sitepackages_switch tests/unit/config/test_config.py::TestConfigTestEnv::test_installpkg_tops_develop tests/unit/config/test_config.py::TestConfigTestEnv::test_specific_command_overrides tests/unit/config/test_config.py::TestConfigTestEnv::test_whitelist_externals tests/unit/config/test_config.py::TestConfigTestEnv::test_changedir tests/unit/config/test_config.py::TestConfigTestEnv::test_ignore_errors tests/unit/config/test_config.py::TestConfigTestEnv::test_envbindir tests/unit/config/test_config.py::TestConfigTestEnv::test_envbindir_jython[jython] tests/unit/config/test_config.py::TestConfigTestEnv::test_envbindir_jython[pypy] tests/unit/config/test_config.py::TestConfigTestEnv::test_envbindir_jython[pypy3] tests/unit/config/test_config.py::TestConfigTestEnv::test_passenv_as_multiline_list[win32] tests/unit/config/test_config.py::TestConfigTestEnv::test_passenv_as_multiline_list[linux2] tests/unit/config/test_config.py::TestConfigTestEnv::test_passenv_as_space_separated_list[win32] tests/unit/config/test_config.py::TestConfigTestEnv::test_passenv_as_space_separated_list[linux2] tests/unit/config/test_config.py::TestConfigTestEnv::test_passenv_with_factor tests/unit/config/test_config.py::TestConfigTestEnv::test_passenv_from_global_env tests/unit/config/test_config.py::TestConfigTestEnv::test_passenv_glob_from_global_env tests/unit/config/test_config.py::TestConfigTestEnv::test_changedir_override tests/unit/config/test_config.py::TestConfigTestEnv::test_install_command_setting tests/unit/config/test_config.py::TestConfigTestEnv::test_install_command_must_contain_packages tests/unit/config/test_config.py::TestConfigTestEnv::test_install_command_substitutions tests/unit/config/test_config.py::TestConfigTestEnv::test_pip_pre tests/unit/config/test_config.py::TestConfigTestEnv::test_pip_pre_cmdline_override tests/unit/config/test_config.py::TestConfigTestEnv::test_simple tests/unit/config/test_config.py::TestConfigTestEnv::test_substitution_error tests/unit/config/test_config.py::TestConfigTestEnv::test_substitution_defaults tests/unit/config/test_config.py::TestConfigTestEnv::test_substitution_notfound_issue246 tests/unit/config/test_config.py::TestConfigTestEnv::test_substitution_notfound_issue515 tests/unit/config/test_config.py::TestConfigTestEnv::test_substitution_nested_env_defaults tests/unit/config/test_config.py::TestConfigTestEnv::test_substitution_positional tests/unit/config/test_config.py::TestConfigTestEnv::test_substitution_noargs_issue240 tests/unit/config/test_config.py::TestConfigTestEnv::test_substitution_double tests/unit/config/test_config.py::TestConfigTestEnv::test_posargs_backslashed_or_quoted tests/unit/config/test_config.py::TestConfigTestEnv::test_rewrite_posargs tests/unit/config/test_config.py::TestConfigTestEnv::test_rewrite_simple_posargs tests/unit/config/test_config.py::TestConfigTestEnv::test_take_dependencies_from_other_testenv[envlist0-deps0] tests/unit/config/test_config.py::TestConfigTestEnv::test_take_dependencies_from_other_testenv[envlist1-deps1] tests/unit/config/test_config.py::TestConfigTestEnv::test_regression_test_issue_706[envlist0] tests/unit/config/test_config.py::TestConfigTestEnv::test_factor_expansion tests/unit/config/test_config.py::TestConfigTestEnv::test_factors_support_curly_braces tests/unit/config/test_config.py::TestConfigTestEnv::test_do_not_substitute_more_than_needed tests/unit/config/test_config.py::TestConfigTestEnv::test_take_dependencies_from_other_section tests/unit/config/test_config.py::TestConfigTestEnv::test_multilevel_substitution tests/unit/config/test_config.py::TestConfigTestEnv::test_recursive_substitution_cycle_fails tests/unit/config/test_config.py::TestConfigTestEnv::test_single_value_from_other_secton tests/unit/config/test_config.py::TestConfigTestEnv::test_factors tests/unit/config/test_config.py::TestConfigTestEnv::test_factor_ops tests/unit/config/test_config.py::TestConfigTestEnv::test_envconfigs_based_on_factors tests/unit/config/test_config.py::TestConfigTestEnv::test_default_factors tests/unit/config/test_config.py::TestConfigTestEnv::test_default_factors_conflict tests/unit/config/test_config.py::TestConfigTestEnv::test_factors_in_boolean tests/unit/config/test_config.py::TestConfigTestEnv::test_factors_in_setenv tests/unit/config/test_config.py::TestConfigTestEnv::test_factor_use_not_checked tests/unit/config/test_config.py::TestConfigTestEnv::test_factors_groups_touch tests/unit/config/test_config.py::TestConfigTestEnv::test_period_in_factor tests/unit/config/test_config.py::TestConfigTestEnv::test_ignore_outcome tests/unit/config/test_config.py::TestGlobalOptions::test_notest tests/unit/config/test_config.py::TestGlobalOptions::test_verbosity tests/unit/config/test_config.py::TestGlobalOptions::test_quiet[args0-0] tests/unit/config/test_config.py::TestGlobalOptions::test_quiet[args1-1] tests/unit/config/test_config.py::TestGlobalOptions::test_quiet[args2-2] tests/unit/config/test_config.py::TestGlobalOptions::test_quiet[args3-3] tests/unit/config/test_config.py::TestGlobalOptions::test_substitution_jenkins_default tests/unit/config/test_config.py::TestGlobalOptions::test_substitution_jenkins_context tests/unit/config/test_config.py::TestGlobalOptions::test_sdist_specification tests/unit/config/test_config.py::TestGlobalOptions::test_env_selection_with_section_name tests/unit/config/test_config.py::TestGlobalOptions::test_env_selection_expanded_envlist tests/unit/config/test_config.py::TestGlobalOptions::test_py_venv tests/unit/config/test_config.py::TestGlobalOptions::test_no_implicit_venv_from_cli_with_envlist tests/unit/config/test_config.py::TestGlobalOptions::test_correct_basepython_chosen_from_default_factors tests/unit/config/test_config.py::TestGlobalOptions::test_envlist_expansion tests/unit/config/test_config.py::TestGlobalOptions::test_envlist_cross_product tests/unit/config/test_config.py::TestGlobalOptions::test_envlist_multiline tests/unit/config/test_config.py::TestGlobalOptions::test_skip_missing_interpreters_true tests/unit/config/test_config.py::TestGlobalOptions::test_skip_missing_interpreters_false tests/unit/config/test_config.py::TestGlobalOptions::test_skip_missing_interpreters_cli_no_arg tests/unit/config/test_config.py::TestGlobalOptions::test_skip_missing_interpreters_cli_not_specified tests/unit/config/test_config.py::TestGlobalOptions::test_skip_missing_interpreters_cli_overrides_true tests/unit/config/test_config.py::TestGlobalOptions::test_skip_missing_interpreters_cli_overrides_false tests/unit/config/test_config.py::TestGlobalOptions::test_defaultenv_commandline tests/unit/config/test_config.py::TestGlobalOptions::test_defaultenv_partial_override tests/unit/config/test_config.py::TestHashseedOption::test_default tests/unit/config/test_config.py::TestHashseedOption::test_passing_integer tests/unit/config/test_config.py::TestHashseedOption::test_passing_string tests/unit/config/test_config.py::TestHashseedOption::test_passing_empty_string tests/unit/config/test_config.py::TestHashseedOption::test_passing_no_argument tests/unit/config/test_config.py::TestHashseedOption::test_setenv tests/unit/config/test_config.py::TestHashseedOption::test_noset tests/unit/config/test_config.py::TestHashseedOption::test_noset_with_setenv tests/unit/config/test_config.py::TestHashseedOption::test_one_random_hashseed tests/unit/config/test_config.py::TestHashseedOption::test_setenv_in_one_testenv tests/unit/config/test_config.py::TestSetenv::test_getdict_lazy tests/unit/config/test_config.py::TestSetenv::test_getdict_lazy_update tests/unit/config/test_config.py::TestSetenv::test_setenv_uses_os_environ tests/unit/config/test_config.py::TestSetenv::test_setenv_default_os_environ tests/unit/config/test_config.py::TestSetenv::test_setenv_uses_other_setenv tests/unit/config/test_config.py::TestSetenv::test_setenv_recursive_direct tests/unit/config/test_config.py::TestSetenv::test_setenv_overrides tests/unit/config/test_config.py::TestSetenv::test_setenv_with_envdir_and_basepython tests/unit/config/test_config.py::TestSetenv::test_setenv_ordering_1 tests/unit/config/test_config.py::TestSetenv::test_setenv_cross_section_subst_issue294 tests/unit/config/test_config.py::TestSetenv::test_setenv_cross_section_subst_twice tests/unit/config/test_config.py::TestSetenv::test_setenv_cross_section_mixed tests/unit/config/test_config.py::TestIndexServer::test_indexserver tests/unit/config/test_config.py::TestIndexServer::test_parse_indexserver tests/unit/config/test_config.py::TestIndexServer::test_multiple_homedir_relative_local_indexservers tests/unit/config/test_config.py::TestConfigConstSubstitutions::test_replace_pathsep_unix[:] tests/unit/config/test_config.py::TestConfigConstSubstitutions::test_replace_pathsep_unix[;] tests/unit/config/test_config.py::TestConfigConstSubstitutions::test_pathsep_regex tests/unit/config/test_config.py::TestParseEnv::test_parse_recreate tests/unit/config/test_config.py::TestCmdInvocation::test_help tests/unit/config/test_config.py::TestCmdInvocation::test_version_simple tests/unit/config/test_config.py::TestCmdInvocation::test_version_no_plugins tests/unit/config/test_config.py::TestCmdInvocation::test_version_with_normal_plugin tests/unit/config/test_config.py::TestCmdInvocation::test_version_with_fileless_module tests/unit/config/test_config.py::TestCmdInvocation::test_config_specific_ini tests/unit/config/test_config.py::TestCmdInvocation::test_no_tox_ini tests/unit/config/test_config.py::TestCmdInvocation::test_override_workdir tests/unit/config/test_config.py::TestCmdInvocation::test_showconfig_with_force_dep_version tests/unit/config/test_config.py::test_env_spec[-e tests/unit/config/test_config.py::TestCommandParser::test_command_parser_for_word tests/unit/config/test_config.py::TestCommandParser::test_command_parser_for_posargs tests/unit/config/test_config.py::TestCommandParser::test_command_parser_for_multiple_words tests/unit/config/test_config.py::TestCommandParser::test_command_parser_for_substitution_with_spaces tests/unit/config/test_config.py::TestCommandParser::test_command_parser_with_complex_word_set tests/unit/config/test_config.py::TestCommandParser::test_command_with_runs_of_whitespace tests/unit/config/test_config.py::TestCommandParser::test_command_with_split_line_in_subst_arguments tests/unit/config/test_config.py::TestCommandParser::test_command_parsing_for_issue_10 tests/unit/config/test_config.py::TestCommandParser::test_commands_with_backslash tests/unit/config/test_config.py::test_isolated_build_env_cannot_be_in_envlist tests/unit/config/test_config.py::test_config_via_pyproject_legacy tests/unit/config/test_config.py::test_config_bad_pyproject_specified tests/unit/config/test_config.py::test_config_bad_config_type_specified tests/unit/config/test_config.py::test_interactive_na tests/unit/config/test_config.py::test_interactive_available tests/unit/config/test_config.py::test_interactive tests/unit/config/test_config.py::test_config_current_py tests/unit/config/test_config.py::test_posargs_relative_changedir
src/tox/config/__init__.py docs/changelog/1207.bugfix.rst
src/tox/config/__init__.py docs/changelog/1207.bugfix.rst