diff --git a/changelog.d/20240326_133323_roman_segmentation_fix.md b/changelog.d/20240326_133323_roman_segmentation_fix.md
new file mode 100644
index 000000000000..bc9e76ee439a
--- /dev/null
+++ b/changelog.d/20240326_133323_roman_segmentation_fix.md
@@ -0,0 +1,9 @@
+### Fixed
+
+- Fixed an invalid default overlap size being selected for video tasks
+  with small segments
+  (<https://github.com/opencv/cvat/pull/7681>)
+
+- Fixed redundant jobs being created for tasks with non-zero overlap
+  in certain cases
+  (<https://github.com/opencv/cvat/pull/7681>)
diff --git a/cvat/apps/engine/task.py b/cvat/apps/engine/task.py
index 7e73e1f52349..7f2d6471fd3c 100644
--- a/cvat/apps/engine/task.py
+++ b/cvat/apps/engine/task.py
@@ -6,7 +6,6 @@
 import itertools
 import fnmatch
 import os
-import sys
 from typing import Any, Dict, Iterator, List, NamedTuple, Optional, Union, Iterable
 from rest_framework.serializers import ValidationError
 import rq
@@ -132,23 +131,18 @@ def _segments():
             data_size = db_task.data.size
 
         segment_size = db_task.segment_size
-        segment_step = segment_size
         if segment_size == 0 or segment_size > data_size:
             segment_size = data_size
 
-            # Segment step must be more than segment_size + overlap in single-segment tasks
-            # Otherwise a task contains an extra segment
-            segment_step = sys.maxsize
-
-        overlap = 5 if db_task.mode == 'interpolation' else 0
-        if db_task.overlap is not None:
-            overlap = min(db_task.overlap, segment_size  // 2)
-
-        segment_step -= overlap
+        overlap = min(
+            db_task.overlap if db_task.overlap is not None
+                else 5 if db_task.mode == 'interpolation' else 0,
+            segment_size // 2,
+        )
 
         segments = (
             SegmentParams(start_frame, min(start_frame + segment_size - 1, data_size - 1))
-            for start_frame in range(0, data_size, segment_step)
+            for start_frame in range(0, data_size - overlap, segment_size - overlap)
         )
 
     return SegmentsParams(segments, segment_size, overlap)
diff --git a/tests/python/rest_api/test_tasks.py b/tests/python/rest_api/test_tasks.py
index 19af43530aa5..7bfb7ecdcf69 100644
--- a/tests/python/rest_api/test_tasks.py
+++ b/tests/python/rest_api/test_tasks.py
@@ -801,6 +801,67 @@ def test_can_create_task_with_defined_start_and_stop_frames(self):
             (task, _) = api_client.tasks_api.retrieve(task_id)
             assert task.size == 4
 
+    def test_default_overlap_for_small_segment_size(self):
+        task_spec = {
+            "name": f"test {self._USERNAME} with default overlap and small segment_size",
+            "labels": [{"name": "car"}],
+            "segment_size": 2,
+        }
+
+        task_data = {
+            "image_quality": 75,
+            "server_files": ["videos/video_1.mp4"],
+        }
+
+        task_id, _ = create_task(self._USERNAME, task_spec, task_data)
+
+        # check task size
+        with make_api_client(self._USERNAME) as api_client:
+            paginated_job_list, _ = api_client.jobs_api.list(task_id=task_id)
+
+            jobs = paginated_job_list.results
+            jobs.sort(key=lambda job: job.start_frame)
+
+            assert len(jobs) == 2
+            assert jobs[0].start_frame == 0
+            assert jobs[0].stop_frame == 1
+            assert jobs[1].start_frame == 1
+            assert jobs[1].stop_frame == 2
+
+    @pytest.mark.parametrize(
+        "size,expected_segments",
+        [
+            (2, [(0, 1)]),
+            (3, [(0, 2)]),
+            (4, [(0, 2), (2, 3)]),
+            (5, [(0, 2), (2, 4)]),
+            (6, [(0, 2), (2, 4), (4, 5)]),
+        ],
+    )
+    def test_task_segmentation(self, size, expected_segments):
+        task_spec = {
+            "name": f"test {self._USERNAME} to check segmentation into jobs",
+            "labels": [{"name": "car"}],
+            "segment_size": 3,
+            "overlap": 1,
+        }
+
+        task_data = {
+            "image_quality": 75,
+            "client_files": generate_image_files(size),
+        }
+
+        task_id, _ = create_task(self._USERNAME, task_spec, task_data)
+
+        # check task size
+        with make_api_client(self._USERNAME) as api_client:
+            paginated_job_list, _ = api_client.jobs_api.list(task_id=task_id)
+
+            jobs = paginated_job_list.results
+            jobs.sort(key=lambda job: job.start_frame)
+
+            assert [(j.start_frame, j.stop_frame) for j in jobs] == expected_segments
+
     def test_can_create_task_with_exif_rotated_images(self):
         task_spec = {
             "name": f"test {self._USERNAME} to create a task with exif rotated images",