diff --git a/docs/CHANGELOG-v1.md b/docs/CHANGELOG-v1.md
index 1835f568e5b..e9622e0d1e7 100644
--- a/docs/CHANGELOG-v1.md
+++ b/docs/CHANGELOG-v1.md
@@ -32,6 +32,10 @@ See [upgrade notes][1] for helpful information when upgrading from previous vers
 
 ## Unreleased
 
+- Updated rules:
+  - Template file
+    - Update `AZR-000212` to not fail with `languageVersion` 2.0 Templates
+
 ## v1.33.0-B0088 (pre-release)
 
 What's changed since pre-release v1.33.0-B0053:
diff --git a/src/PSRule.Rules.Azure/rules/Azure.Template.Rule.ps1 b/src/PSRule.Rules.Azure/rules/Azure.Template.Rule.ps1
index c18977e3726..9948aaddc1d 100644
--- a/src/PSRule.Rules.Azure/rules/Azure.Template.Rule.ps1
+++ b/src/PSRule.Rules.Azure/rules/Azure.Template.Rule.ps1
@@ -11,7 +11,7 @@
 Rule 'Azure.Template.TemplateFile' -Ref 'AZR-000212' -Type '.json' -If { (IsTemplateFile) } -Tag @{ release = 'GA'; ruleSet = '2020_06'; 'Azure.WAF/pillar' = 'Operational Excellence'; } {
     $jsonObject = $PSRule.GetContentFirstOrDefault($TargetObject);
     $Assert.HasFields($jsonObject, @('$schema', 'contentVersion', 'resources'));
-    $jsonObject.PSObject.Properties | Within 'Name' '$schema', 'contentVersion', 'metadata', 'parameters', 'functions', 'variables', 'resources', 'outputs';
+    $jsonObject.PSObject.Properties | Within 'Name' '$schema', 'languageVersion', 'contentVersion', 'definitions', 'metadata', 'parameters', 'functions', 'variables', 'resources', 'outputs';
 }
 
 # Synopsis: Use a more recent version of the Azure template schema.
diff --git a/tests/PSRule.Rules.Azure.Tests/Azure.Template.Tests.ps1 b/tests/PSRule.Rules.Azure.Tests/Azure.Template.Tests.ps1
index 89dac6cf8e1..455c96390bc 100644
--- a/tests/PSRule.Rules.Azure.Tests/Azure.Template.Tests.ps1
+++ b/tests/PSRule.Rules.Azure.Tests/Azure.Template.Tests.ps1
@@ -48,7 +48,7 @@ Describe 'Azure.Template' -Tag 'Template' {
             # Pass
             $ruleResult = @($filteredResult | Where-Object { $_.Outcome -eq 'Pass' });
             $ruleResult | Should -Not -BeNullOrEmpty;
-            $ruleResult.Length | Should -Be 4;
+            $ruleResult.Length | Should -Be 5;
             ($ruleResult | Where-Object { $_.TargetName -like "*Resources.Template.json" }).TargetName | Should -BeLike "*Resources.Template.json";
             ($ruleResult | Where-Object { $_.TargetName -like "*Resources.Template4.json" }).TargetName | Should -BeLike "*Resources.Template4.json";
         }
@@ -67,8 +67,8 @@ Describe 'Azure.Template' -Tag 'Template' {
             # Pass
             $ruleResult = @($filteredResult | Where-Object { $_.Outcome -eq 'Pass' });
             $ruleResult | Should -Not -BeNullOrEmpty;
-            $ruleResult.Length | Should -Be 4;
-            $ruleResult.TargetName.Replace('\', '/').Split('/')[-1] | Should -BeIn 'Resources.Template2.json', 'Resources.Template4.json', 'Resources.Template.Bicep1.json', 'Resources.Template.Bicep2.json';
+            $ruleResult.Length | Should -Be 5;
+            $ruleResult.TargetName.Replace('\', '/').Split('/')[-1] | Should -BeIn 'Resources.Template2.json', 'Resources.Template4.json', 'Resources.Template.Bicep1.json', 'Resources.Template.Bicep2.json', 'Resources.Template.V2.json';
         }
 
         It 'Azure.Template.TemplateScheme' {
@@ -85,11 +85,12 @@ Describe 'Azure.Template' -Tag 'Template' {
             # Pass
             $ruleResult = @($filteredResult | Where-Object { $_.Outcome -eq 'Pass' });
             $ruleResult | Should -Not -BeNullOrEmpty;
-            $ruleResult.Length | Should -Be 5;
+            $ruleResult.Length | Should -Be 6;
             $ruleResult.TargetName.Replace('\', '/').Split('/')[-1] | Should -BeIn @(
                 'Resources.Template.Bicep1.json'
                 'Resources.Template.Bicep2.json'
                 'Resources.Template.json'
+                'Resources.Template.V2.json'
                 'Resources.Template3.json'
                 'Resources.Template4.json'
             );
@@ -123,10 +124,11 @@ Describe 'Azure.Template' -Tag 'Template' {
             # Pass
             $ruleResult = @($filteredResult | Where-Object { $_.Outcome -eq 'Pass' });
             $ruleResult | Should -Not -BeNullOrEmpty;
-            $ruleResult.Length | Should -Be 4;
+            $ruleResult.Length | Should -Be 5;
             $ruleResult.TargetName.Replace('\', '/').Split('/')[-1] | Should -BeIn @(
                 'Resources.Template.Bicep1.json'
                 'Resources.Template.Bicep2.json'
+                'Resources.Template.V2.json'
                 'Resources.Template3.json'
                 'Resources.Template4.json'
             );
@@ -688,7 +690,7 @@ Describe 'Azure.Template' -Tag 'Template' {
             $ruleResult = @($filteredResult | Where-Object { $_.Outcome -eq 'Fail' } | Sort-Object -Property { $_.TargetName.Replace('\', '/').Split('/')[-1] });
             $ruleResult | Should -Not -BeNullOrEmpty;
             $ruleResult.Length | Should -Be 3;
-            
+
             $ruleResult.TargetName.Replace('\', '/').Split('/')[-1] | Should -BeIn @(
                 'Resources.Template2.json'
                 'Resources.Template3.json'
diff --git a/tests/PSRule.Rules.Azure.Tests/Resources.Template.V2.json b/tests/PSRule.Rules.Azure.Tests/Resources.Template.V2.json
new file mode 100644
index 00000000000..82a7a1db9a5
--- /dev/null
+++ b/tests/PSRule.Rules.Azure.Tests/Resources.Template.V2.json
@@ -0,0 +1,46 @@
+{
+  "$schema": "https://schema.management.azure.com/schemas/2019-04-01/deploymentTemplate.json#",
+  "languageVersion": "2.0",
+  "contentVersion": "1.0.0.0",
+  "metadata": {
+    "_generator": {
+      "name": "bicep",
+      "version": "0.24.24.22086",
+      "templateHash": "10842470273706361200"
+    }
+  },
+  "parameters": {
+    "location": {
+      "type": "string",
+      "defaultValue": "[resourceGroup().location]",
+      "metadata": {
+        "description": "The location resources will be deployed."
+      }
+    },
+    "testNullable": {
+      "type": "string",
+      "nullable": true,
+      "metadata": {
+        "description": "Nullable string parameter."
+      }
+    }
+  },
+  "resources": {
+    "testResource": {
+      "type": "Microsoft.Storage/storageAccounts",
+      "apiVersion": "2023-01-01",
+      "name": "testStorageAccount",
+      "location": "[parameters('location')]",
+      "kind": "StorageV2",
+      "sku": {
+        "name": "Standard_LRS"
+      }
+    }
+  },
+  "outputs": {
+    "testOutput": {
+      "type": "string",
+      "value": "[coalesce(parameters('testNullable'), 'Empty')]"
+    }
+  }
+}
\ No newline at end of file