diff --git a/src/components/DeferredImageWithLoading.tsx b/src/components/DeferredImageWithLoading.tsx
new file mode 100644
index 000000000000..c7f3712f1fd9
--- /dev/null
+++ b/src/components/DeferredImageWithLoading.tsx
@@ -0,0 +1,54 @@
+import ScreenWrapperStatusContext from '@components/ScreenWrapper/ScreenWrapperStatusContext';
+
+import useRunAfterTransitions from '@hooks/useRunAfterTransitions';
+import useThemeStyles from '@hooks/useThemeStyles';
+
+import React, {useContext} from 'react';
+import {View} from 'react-native';
+
+import type {ImageWithSizeLoadingProps} from './ImageWithLoading';
+
+import ImageWithLoading from './ImageWithLoading';
+
+/**
+ * Wrapper around ImageWithLoading that keeps the image out of the render passes happening during a screen's entry
+ * transition: fetching, decoding and laying out an image competes with the animation, so the screen slides in with an
+ * empty placeholder of the same size and the image mounts once the transition is over.
+ *
+ * The gate is the enclosing ScreenWrapper's `didScreenTransitionEnd`, not `useRunAfterTransitions(true)` alone: an
+ * incoming screen's subtree mounts (and runs its effects) *before* React Navigation emits `transitionStart`, so at that
+ * point TransitionTracker has no active transition and would let the image through immediately.
+ *
+ * On a screen that has already settled - a receipt arriving in an open chat - `didScreenTransitionEnd` is already true,
+ * so the image mounts on the very next render with no perceptible delay.
+ */
+function DeferredImageWithLoading({containerStyles, onLayout, ...rest}: ImageWithSizeLoadingProps) {
+    const styles = useThemeStyles();
+
+    // Read the context directly rather than through `useScreenWrapperTransitionStatus`, which throws outside a
+    // ScreenWrapper. There is no screen entry transition to wait for in that case, so don't hold the image back.
+    const screenWrapperStatus = useContext(ScreenWrapperStatusContext);
+    const didScreenTransitionEnd = screenWrapperStatus?.didScreenTransitionEnd ?? true;
+
+    // Also wait out any transition still tracked once the screen has settled, e.g. an overlapping modal or keyboard one.
+    const shouldRenderImage = useRunAfterTransitions(didScreenTransitionEnd);
+
+    if (!shouldRenderImage) {
+        return (
+            <View
+                style={[styles.w100, styles.h100, containerStyles]}
+                onLayout={onLayout}
+            />
+        );
+    }
+
+    return (
+        <ImageWithLoading
+            containerStyles={containerStyles}
+            onLayout={onLayout}
+            {...rest}
+        />
+    );
+}
+
+export default DeferredImageWithLoading;
diff --git a/src/components/ImageWithLoading.tsx b/src/components/ImageWithLoading.tsx
index 508960051142..fcaadda8e235 100644
--- a/src/components/ImageWithLoading.tsx
+++ b/src/components/ImageWithLoading.tsx
@@ -149,3 +149,4 @@ function ImageWithLoading({
 ImageWithLoading.displayName = 'ImageWithLoading';
 
 export default React.memo(ImageWithLoading);
+export type {ImageWithSizeLoadingProps};
diff --git a/src/components/ImageWithSizeCalculation.tsx b/src/components/ImageWithSizeCalculation.tsx
index 7710611bda61..777455c1cb32 100644
--- a/src/components/ImageWithSizeCalculation.tsx
+++ b/src/components/ImageWithSizeCalculation.tsx
@@ -12,8 +12,8 @@ import React, {useMemo} from 'react';
 import type {FullScreenLoadingIndicatorIconSize} from './FullscreenLoadingIndicator';
 import type {ImageObjectPosition} from './Image/types';
 
+import DeferredImageWithLoading from './DeferredImageWithLoading';
 import RESIZE_MODES from './Image/resizeModes';
-import ImageWithLoading from './ImageWithLoading';
 
 type OnMeasure = (args: {width: number; height: number}) => void;
 
@@ -95,7 +95,7 @@ function ImageWithSizeCalculation({
     };
 
     return (
-        <ImageWithLoading
+        <DeferredImageWithLoading
             containerStyles={[styles.w100, styles.h100, style]}
             style={[styles.w100, styles.h100]}
             source={source}
diff --git a/src/components/ReceiptImage/index.tsx b/src/components/ReceiptImage/index.tsx
index 96dad92e6cf8..f825f652ddc8 100644
--- a/src/components/ReceiptImage/index.tsx
+++ b/src/components/ReceiptImage/index.tsx
@@ -1,9 +1,9 @@
+import DeferredImageWithLoading from '@components/DeferredImageWithLoading';
 import EReceiptStaticThumbnail from '@components/EReceiptStaticThumbnail';
 import EReceiptThumbnail from '@components/EReceiptThumbnail';
 import type {IconSize} from '@components/EReceiptThumbnail';
 import EReceiptWithSizeCalculation from '@components/EReceiptWithSizeCalculation';
 import type {FullScreenLoadingIndicatorIconSize} from '@components/FullscreenLoadingIndicator';
-import ImageWithLoading from '@components/ImageWithLoading';
 import ReceiptEmptyState from '@components/ReceiptEmptyState';
 import LocalPDFReceiptPreview from '@components/ReportActionItem/LocalPDFReceiptPreview';
 import type {TransactionListItemType} from '@components/Search/SearchList/ListItem/types';
@@ -256,7 +256,7 @@ function ReceiptImage({
     }
 
     return (
-        <ImageWithLoading
+        <DeferredImageWithLoading
             onLayout={(e) => {
                 if (e.nativeEvent.layout.width !== receiptImageWidth && e.timeStamp - lastUpdateWidthTimestampRef.current > MIN_UPDATE_WIDTH_DIFF) {
                     setReceiptImageWidth(e.nativeEvent.layout.width);
diff --git a/src/components/ReportActionItem/ReportActionItemImage.tsx b/src/components/ReportActionItem/ReportActionItemImage.tsx
index 8d9d6a7a4a0a..73f46ded020d 100644
--- a/src/components/ReportActionItem/ReportActionItemImage.tsx
+++ b/src/components/ReportActionItem/ReportActionItemImage.tsx
@@ -191,7 +191,7 @@ function ReportActionItemImage({
         propsObj = {
             shouldUseThumbnailImage: shouldUseThumbnailImage ?? true,
 
-            source: thumbnailSource,
+            source: originalImageSource,
             fallbackIcon: icons.Receipt,
             fallbackIconSize: isSingleImage ? variables.iconSizeSuperLarge : variables.iconSizeExtraLarge,
             isAuthTokenRequired: true,