diff --git a/sound/soc/sof/ipc4-topology.c b/sound/soc/sof/ipc4-topology.c
index af93697c1ee35a..58fba63f1d85ac 100644
--- a/sound/soc/sof/ipc4-topology.c
+++ b/sound/soc/sof/ipc4-topology.c
@@ -2629,16 +2629,6 @@ static int sof_ipc4_prepare_src_module(struct snd_sof_widget *swidget,
 	if (input_fmt_index < 0)
 		return input_fmt_index;
 
-	/*
-	 * For playback, the SRC sink rate will be configured based on the requested output
-	 * format, which is restricted to only deal with DAI's with a single format for now.
-	 */
-	if (dir == SNDRV_PCM_STREAM_PLAYBACK && available_fmt->num_output_formats > 1) {
-		dev_err(sdev->dev, "Invalid number of output formats: %d for SRC %s\n",
-			available_fmt->num_output_formats, swidget->widget->name);
-		return -EINVAL;
-	}
-
 	/*
 	 * SRC does not perform format conversion, so the output channels and valid bit depth must
 	 * be the same as that of the input.
@@ -2648,12 +2638,36 @@ static int sof_ipc4_prepare_src_module(struct snd_sof_widget *swidget,
 	out_ref_valid_bits = SOF_IPC4_AUDIO_FORMAT_CFG_V_BIT_DEPTH(in_audio_fmt->fmt_cfg);
 	out_ref_type = sof_ipc4_fmt_cfg_to_type(in_audio_fmt->fmt_cfg);
 
-	/*
-	 * For capture, the SRC module should convert the rate to match the rate requested by the
-	 * PCM hw_params. Set the reference params based on the fe_params unconditionally as it
-	 * will be ignored for playback anyway.
-	 */
-	out_ref_rate = params_rate(fe_params);
+	if (src->data.sink_rate) {
+		/* Use the sink rate as reference */
+		out_ref_rate = src->data.sink_rate;
+	} else if (dir == SNDRV_PCM_STREAM_CAPTURE) {
+		/*
+		 * Use the fe rate as reference for capture if the sink rate is
+		 * not set since we need to convert to the rate the PCM device
+		 * is openned with
+		 */
+		out_ref_rate = params_rate(fe_params);
+	} else {
+		/*
+		 * Otherwise try to guess what the rate should be:
+		 * The output formats must have single rate specified if the
+		 * sink rate is not set for an SRC in playback path.
+		 */
+		int i;
+
+		out_audio_fmt = &available_fmt->output_pin_fmts[0].audio_fmt;
+		out_ref_rate = out_audio_fmt->sampling_frequency;
+		for (i = 1; i < available_fmt->num_output_formats; i++) {
+			out_audio_fmt = &available_fmt->output_pin_fmts[i].audio_fmt;
+			if (out_ref_rate != out_audio_fmt->sampling_frequency) {
+				dev_err(sdev->dev,
+					"Cannot determine the output rate for SRC: %s\n",
+					swidget->widget->name);
+				return -EINVAL;
+			}
+		}
+	}
 
 	output_fmt_index = sof_ipc4_init_output_audio_fmt(sdev, swidget,
 							  &src->data.base_config,