diff --git a/nixos/modules/services/misc/gitea.nix b/nixos/modules/services/misc/gitea.nix
index 945009f0058..89a6d015162 100644
--- a/nixos/modules/services/misc/gitea.nix
+++ b/nixos/modules/services/misc/gitea.nix
@@ -439,6 +439,8 @@ in
       lfs = mkIf cfg.lfs.enable {
         PATH = cfg.lfs.contentDir;
       };
+
+      packages.CHUNKED_UPLOAD_PATH = "${cfg.stateDir}/tmp/package-upload";
     };
 
     services.postgresql = optionalAttrs (usePostgresql && cfg.database.createDatabase) {
@@ -575,7 +577,7 @@ in
       '';
 
       serviceConfig = {
-        Type = "simple";
+        Type = "notify";
         User = cfg.user;
         Group = cfg.group;
         WorkingDirectory = cfg.stateDir;
diff --git a/nixos/tests/gitea.nix b/nixos/tests/gitea.nix
index 2285bb5a425..b8926cfa354 100644
--- a/nixos/tests/gitea.nix
+++ b/nixos/tests/gitea.nix
@@ -121,14 +121,10 @@ let
       client2.succeed(f"GIT_SSH_COMMAND='{GIT_SSH_COMMAND}' git clone {REPO}")
       client2.succeed('test "$(cat repo/testfile | xargs echo -n)" = "hello world"')
 
-      server.succeed(
+      server.wait_until_succeeds(
           'test "$(curl http://localhost:3000/api/v1/repos/test/repo/commits '
           + '-H "Accept: application/json" | jq length)" = "1"'
       )
-
-      client1.shutdown()
-      client2.shutdown()
-      server.shutdown()
     '';
   });
 in
diff --git a/pkgs/applications/version-management/gitea/default.nix b/pkgs/applications/version-management/gitea/default.nix
index 0b9e1a9d93a..29059d74b7c 100644
--- a/pkgs/applications/version-management/gitea/default.nix
+++ b/pkgs/applications/version-management/gitea/default.nix
@@ -20,12 +20,12 @@
 
 buildGoModule rec {
   pname = "gitea";
-  version = "1.19.4";
+  version = "1.20.0";
 
   # not fetching directly from the git repo, because that lacks several vendor files for the web UI
   src = fetchurl {
     url = "https://dl.gitea.com/gitea/${version}/gitea-src-${version}.tar.gz";
-    hash = "sha256-vNMNEKMpUoVLUGwPPVhLKfElFmjCWgZHY5i1liNs+xk=";
+    hash = "sha256-ME2ZYSeaHru/7wBFBmXLpf9dKpl0WrtrmAqmzw37tq4=";
   };
 
   vendorHash = null;