diff --git a/packages/tao/src/shared/params.spec.ts b/packages/tao/src/shared/params.spec.ts
index e581db8eb9..5ff25a197b 100644
--- a/packages/tao/src/shared/params.spec.ts
+++ b/packages/tao/src/shared/params.spec.ts
@@ -565,6 +565,85 @@ describe('params', () => {
       expect(opts).toEqual({ a: [] });
     });
 
+    it('should set the default object value', () => {
+      const opts = setDefaults(
+        {
+          a: {
+            key: 'value',
+          },
+        },
+        {
+          properties: {
+            a: {
+              type: 'object',
+              properties: {
+                key: {
+                  type: 'string',
+                },
+                key2: {
+                  type: 'string',
+                  default: 'value2',
+                },
+              },
+            },
+          },
+        }
+      );
+
+      expect(opts).toEqual({ a: { key: 'value', key2: 'value2' } });
+    });
+
+    it('should not default object properties to {}', () => {
+      const opts = setDefaults(
+        {},
+        {
+          properties: {
+            a: {
+              type: 'object',
+              properties: {
+                key: {
+                  type: 'string',
+                },
+              },
+            },
+          },
+        }
+      );
+
+      expect(opts).toEqual({});
+    });
+
+    it('should be able to set defaults for underlying properties', () => {
+      const opts = setDefaults(
+        {},
+        {
+          properties: {
+            a: {
+              type: 'object',
+              properties: {
+                minify: {
+                  type: 'boolean',
+                  default: true,
+                },
+                inlineCritical: {
+                  type: 'boolean',
+                  default: true,
+                },
+              },
+              additionalProperties: false,
+            },
+          },
+        }
+      );
+
+      expect(opts).toEqual({
+        a: {
+          minify: true,
+          inlineCritical: true,
+        },
+      });
+    });
+
     it('should resolve types using refs', () => {
       const opts = setDefaults(
         {},
diff --git a/packages/tao/src/shared/params.ts b/packages/tao/src/shared/params.ts
index ed91b6caea..793d2bb6c1 100644
--- a/packages/tao/src/shared/params.ts
+++ b/packages/tao/src/shared/params.ts
@@ -16,7 +16,12 @@ type PropertyDescription = {
   description?: string;
   format?: string;
   visible?: boolean;
-  default?: string | number | boolean | string[];
+  default?:
+    | string
+    | number
+    | boolean
+    | string[]
+    | { [key: string]: string | number | boolean | string[] };
   $ref?: string;
   $default?: { $source: 'argv'; index: number } | { $source: 'projectName' };
   additionalProperties?: boolean;
@@ -436,10 +441,18 @@ function setPropertyDefault(
       opts[propName] = schema.default;
     }
   } else {
-    if (!opts[propName]) {
+    const wasUndefined = opts[propName] === undefined;
+    if (wasUndefined) {
+      // We need an object to set values onto
       opts[propName] = {};
     }
+
     setDefaultsInObject(opts[propName], schema.properties || {}, definitions);
+
+    // If the property was initially undefined but no properties were added, we remove it again instead of having an {}
+    if (wasUndefined && Object.keys(opts[propName]).length === 0) {
+      delete opts[propName];
+    }
   }
 }
 
diff --git a/packages/workspace/src/core/project-graph/operators.ts b/packages/workspace/src/core/project-graph/operators.ts
index b85ee5af43..1cd52ec1c7 100644
--- a/packages/workspace/src/core/project-graph/operators.ts
+++ b/packages/workspace/src/core/project-graph/operators.ts
@@ -55,7 +55,7 @@ export function isWorkspaceProject(project: ProjectGraphNode) {
 export function isNpmProject(
   project: ProjectGraphNode
 ): project is ProjectGraphNode<{ packageName: string; version: string }> {
-  return project.type === 'npm';
+  return project?.type === 'npm';
 }
 
 export function getSortedProjectNodes(nodes: Record<string, ProjectGraphNode>) {