diff --git a/doc/whatsnew/fragments/10703.false_positive b/doc/whatsnew/fragments/10703.false_positive
new file mode 100644
index 0000000000..304947d06e
--- /dev/null
+++ b/doc/whatsnew/fragments/10703.false_positive
@@ -0,0 +1,4 @@
+Fix a false positive for ``unexpected-keyword-arg`` for dataclasses
+using generic type aliases (PEP 695).
+
+Closes #10703
diff --git a/doc/whatsnew/fragments/10788.false_positive b/doc/whatsnew/fragments/10788.false_positive
new file mode 100644
index 0000000000..87e5ec3a4a
--- /dev/null
+++ b/doc/whatsnew/fragments/10788.false_positive
@@ -0,0 +1,4 @@
+Fix a false positive for ``too-many-function-args`` for dataclasses
+using generic type aliases (PEP 695).
+
+Closes #10788
diff --git a/pyproject.toml b/pyproject.toml
index ba9ac58081..23052cb0b0 100644
--- a/pyproject.toml
+++ b/pyproject.toml
@@ -37,10 +37,10 @@ dynamic = [ "version" ]
 # All the dependencies of the project will be configured here, once pip fully supports PEP735
 # TODO: Remove all requirements.txt files and use this section instead once pip supports PEP735
 dependencies = [
-  # Also upgrade requirements_test_min.txt.
+  # Also upgrade test-min dependency group and requirements_test_min.txt.
   # Pinned to dev of second minor update to allow editable installs and fix primer issues,
   # see https://github.com/pylint-dev/astroid/issues/1341
-  "astroid>=4.0.2,<=4.1.dev0",
+  "astroid>=4.0.3,<=4.1.dev0",
   "colorama>=0.4.5; sys_platform=='win32'",
   "dill>=0.2; python_version<'3.11'",
   "dill>=0.3.6; python_version>='3.11'",
@@ -94,7 +94,7 @@ docs = [
 # Configuration for the build system
 test-min = [
   # Base test dependencies
-  "astroid==4.0.2",                     # Pinned to a specific version for tests
+  "astroid==4.0.3",                     # Pinned to a specific version for tests
   "py~=1.11.0",
   "pytest>=8.4,<10",
   "pytest-benchmark~=5.1",
diff --git a/requirements_test_min.txt b/requirements_test_min.txt
index cffbec4f37..ed3a11bd6e 100644
--- a/requirements_test_min.txt
+++ b/requirements_test_min.txt
@@ -1,6 +1,6 @@
 .[testutils,spelling]
 # astroid dependency is also defined in pyproject.toml
-astroid==4.0.2  # Pinned to a specific version for tests
+astroid==4.0.3  # Pinned to a specific version for tests
 typing-extensions~=4.15
 py~=1.11.0
 pytest>=8.4,<10.0
diff --git a/tests/functional/d/dataclass/dataclass_py312.py b/tests/functional/d/dataclass/dataclass_py312.py
new file mode 100644
index 0000000000..967871c62d
--- /dev/null
+++ b/tests/functional/d/dataclass/dataclass_py312.py
@@ -0,0 +1,29 @@
+# pylint: disable=missing-class-docstring
+"""Dataclasses using PEP 695 syntax."""
+import dataclasses
+
+
+@dataclasses.dataclass
+class B[X]:
+    x: X
+
+
+@dataclasses.dataclass
+class C(B[int]):
+    pass
+
+
+C(x=0)
+
+
+@dataclasses.dataclass
+class One[T]:
+    one: T
+
+
+@dataclasses.dataclass
+class Two[T](One[T]):
+    two: T
+
+one = One(1)
+two = Two(1, 2)
diff --git a/tests/functional/d/dataclass/dataclass_py312.rc b/tests/functional/d/dataclass/dataclass_py312.rc
new file mode 100644
index 0000000000..e9ecd19d69
--- /dev/null
+++ b/tests/functional/d/dataclass/dataclass_py312.rc
@@ -0,0 +1,2 @@
+[testoptions]
+min_pyver = 3.12