diff --git a/src/resources/filters/layout/columns-preprocess.lua b/src/resources/filters/layout/columns-preprocess.lua
index fa9491ffe0..d68df8e366 100644
--- a/src/resources/filters/layout/columns-preprocess.lua
+++ b/src/resources/filters/layout/columns-preprocess.lua
@@ -4,6 +4,9 @@
 function columns_preprocess() 
   return {
     FloatRefTarget = function(float)
+      if float.parent_id ~= nil then
+        return nil
+      end
       local location = cap_location(float)
       if location == 'margin' then
         float.classes:insert('margin-caption')
diff --git a/src/resources/filters/layout/html.lua b/src/resources/filters/layout/html.lua
index c9de9ace9d..9202192301 100644
--- a/src/resources/filters/layout/html.lua
+++ b/src/resources/filters/layout/html.lua
@@ -83,7 +83,12 @@ end, function(panel_layout)
     })
     decorate_caption_with_crossref(float_tbl)
     rendered_panel = float_reftarget_render_html_figure(float_tbl)
-    rendered_panel.attr = pandoc.Attr(panel_layout.identifier, {"quarto-layout-panel"})
+    local panel_attr = pandoc.Attr(panel_layout.identifier, {"quarto-layout-panel"})
+    -- https://github.com/quarto-dev/quarto-cli/issues/1173
+    if rendered_panel.classes:includes("margin-caption") then
+      panel_attr.classes:insert("margin-caption")
+    end
+    rendered_panel.attr = panel_attr
   else
     rendered_panel = panel
     rendered_panel.attr = pandoc.Attr(