diff --git a/packages/SystemUI/res/layout/status_bar_expanded.xml b/packages/SystemUI/res/layout/status_bar_expanded.xml
index 2290964eccd08..39d7f4f5db4e4 100644
--- a/packages/SystemUI/res/layout/status_bar_expanded.xml
+++ b/packages/SystemUI/res/layout/status_bar_expanded.xml
@@ -122,7 +122,7 @@
             android:layout_marginTop="@dimen/notification_panel_margin_top"
             android:layout_width="@dimen/notification_panel_width"
             android:layout_height="match_parent"
-            android:layout_marginBottom="@dimen/close_handle_underlap"
+            android:layout_marginBottom="@dimen/notification_panel_margin_bottom"
             android:importantForAccessibility="no"
             systemui:layout_constraintStart_toStartOf="parent"
             systemui:layout_constraintEnd_toEndOf="parent"
diff --git a/packages/SystemUI/res/values-sw600dp-land/dimens.xml b/packages/SystemUI/res/values-sw600dp-land/dimens.xml
index 89d046b83d977..c2cec52312439 100644
--- a/packages/SystemUI/res/values-sw600dp-land/dimens.xml
+++ b/packages/SystemUI/res/values-sw600dp-land/dimens.xml
@@ -26,6 +26,10 @@
          keyguard_split_shade_top_margin - status_bar_header_height_keyguard = 8dp -->
     <dimen name="keyguard_clock_top_margin">8dp</dimen>
 
+    <dimen name="split_shade_notifications_scrim_margin_bottom">16dp</dimen>
+
+    <dimen name="notification_panel_margin_bottom">48dp</dimen>
+
     <!-- Limit the TaskView to this percentage of the overall screen width (0.0 - 1.0) -->
     <item name="controls_task_view_width_percentage" translatable="false" format="float" type="dimen">0.45</item>
     <dimen name="controls_task_view_right_margin">8dp</dimen>
diff --git a/packages/SystemUI/res/values-sw720dp-land/dimens.xml b/packages/SystemUI/res/values-sw720dp-land/dimens.xml
new file mode 100644
index 0000000000000..219fd43c0e835
--- /dev/null
+++ b/packages/SystemUI/res/values-sw720dp-land/dimens.xml
@@ -0,0 +1,21 @@
+<?xml version="1.0" encoding="utf-8"?>
+<!--
+ * Copyright (c) 2022, The Android Open Source Project
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+*/
+-->
+<resources>
+    <dimen name="split_shade_notifications_scrim_margin_bottom">16dp</dimen>
+    <dimen name="notification_panel_margin_bottom">56dp</dimen>
+</resources>
diff --git a/packages/SystemUI/res/values/dimens.xml b/packages/SystemUI/res/values/dimens.xml
index 800dd0a6d7a33..4ecad749ada51 100644
--- a/packages/SystemUI/res/values/dimens.xml
+++ b/packages/SystemUI/res/values/dimens.xml
@@ -311,9 +311,6 @@
     <!-- Move the back button drawable for 3 button layout upwards in ime mode and in portrait -->
     <dimen name="navbar_back_button_ime_offset">2dp</dimen>
 
-    <!-- Amount of close_handle that will NOT overlap the notification list -->
-    <dimen name="close_handle_underlap">32dp</dimen>
-
     <!-- Height of the status bar header bar in the car setting. -->
     <dimen name="car_status_bar_header_height">128dp</dimen>
 
@@ -376,8 +373,12 @@
     -->
     <dimen name="nssl_split_shade_min_content_height">256dp</dimen>
 
-    <!-- The bottom margin of the panel that holds the list of notifications. -->
-    <dimen name="notification_panel_margin_bottom">0dp</dimen>
+    <dimen name="notification_panel_margin_bottom">32dp</dimen>
+
+    <!-- The bottom padding of the panel that holds the list of notifications. -->
+    <dimen name="notification_panel_padding_bottom">0dp</dimen>
+
+    <dimen name="split_shade_notifications_scrim_margin_bottom">0dp</dimen>
 
     <dimen name="notification_panel_width">@dimen/match_parent</dimen>
 
diff --git a/packages/SystemUI/src/com/android/systemui/statusbar/notification/stack/NotificationStackScrollLayout.java b/packages/SystemUI/src/com/android/systemui/statusbar/notification/stack/NotificationStackScrollLayout.java
index 9f6a81d3a9eef..dd72615768b02 100644
--- a/packages/SystemUI/src/com/android/systemui/statusbar/notification/stack/NotificationStackScrollLayout.java
+++ b/packages/SystemUI/src/com/android/systemui/statusbar/notification/stack/NotificationStackScrollLayout.java
@@ -199,7 +199,7 @@ public class NotificationStackScrollLayout extends ViewGroup implements Dumpable
     private int mMaxTopPadding;
     private int mTopPadding;
     private boolean mAnimateNextTopPaddingChange;
-    private int mBottomMargin;
+    private int mBottomPadding;
     private int mBottomInset = 0;
     private float mQsExpansionFraction;
     private final int mSplitShadeMinContentHeight;
@@ -981,7 +981,7 @@ public class NotificationStackScrollLayout extends ViewGroup implements Dumpable
         mMinTopOverScrollToEscape = res.getDimensionPixelSize(
                 R.dimen.min_top_overscroll_to_qs);
         mStatusBarHeight = SystemBarUtils.getStatusBarHeight(mContext);
-        mBottomMargin = res.getDimensionPixelSize(R.dimen.notification_panel_margin_bottom);
+        mBottomPadding = res.getDimensionPixelSize(R.dimen.notification_panel_padding_bottom);
         mMinimumPaddings = res.getDimensionPixelSize(R.dimen.notification_side_paddings);
         mQsTilePadding = res.getDimensionPixelOffset(R.dimen.qs_tile_margin_horizontal);
         mSkinnyNotifsInLandscape = res.getBoolean(R.bool.config_skinnyNotifsInLandscape);
@@ -2280,7 +2280,7 @@ public class NotificationStackScrollLayout extends ViewGroup implements Dumpable
 
         // The topPadding can be bigger than the regular padding when qs is expanded, in that
         // state the maxPanelHeight and the contentHeight should be bigger
-        mContentHeight = height + Math.max(mIntrinsicPadding, mTopPadding) + mBottomMargin;
+        mContentHeight = height + Math.max(mIntrinsicPadding, mTopPadding) + mBottomPadding;
         updateScrollability();
         clampScrollPosition();
         updateStackPosition();
diff --git a/packages/SystemUI/src/com/android/systemui/statusbar/notification/stack/StackScrollAlgorithm.java b/packages/SystemUI/src/com/android/systemui/statusbar/notification/stack/StackScrollAlgorithm.java
index 4d6ca78875e66..e24cd3e9b0165 100644
--- a/packages/SystemUI/src/com/android/systemui/statusbar/notification/stack/StackScrollAlgorithm.java
+++ b/packages/SystemUI/src/com/android/systemui/statusbar/notification/stack/StackScrollAlgorithm.java
@@ -61,7 +61,7 @@ public class StackScrollAlgorithm {
     @VisibleForTesting float mHeadsUpInset;
     private int mPinnedZTranslationExtra;
     private float mNotificationScrimPadding;
-    private int mCloseHandleUnderlapHeight;
+    private int mMarginBottom;
 
     public StackScrollAlgorithm(
             Context context,
@@ -87,7 +87,7 @@ public class StackScrollAlgorithm {
                 R.dimen.heads_up_pinned_elevation);
         mGapHeight = res.getDimensionPixelSize(R.dimen.notification_section_divider_height);
         mNotificationScrimPadding = res.getDimensionPixelSize(R.dimen.notification_side_paddings);
-        mCloseHandleUnderlapHeight = res.getDimensionPixelSize(R.dimen.close_handle_underlap);
+        mMarginBottom = res.getDimensionPixelSize(R.dimen.notification_panel_margin_bottom);
     }
 
     /**
@@ -463,7 +463,7 @@ public class StackScrollAlgorithm {
             }
         } else {
             if (view instanceof EmptyShadeView) {
-                float fullHeight = ambientState.getLayoutMaxHeight() + mCloseHandleUnderlapHeight
+                float fullHeight = ambientState.getLayoutMaxHeight() + mMarginBottom
                         - ambientState.getStackY();
                 viewState.yTranslation = (fullHeight - getMaxAllowedChildHeight(view)) / 2f;
             } else if (view != ambientState.getTrackedHeadsUpRow()) {
diff --git a/packages/SystemUI/src/com/android/systemui/statusbar/phone/NotificationPanelViewController.java b/packages/SystemUI/src/com/android/systemui/statusbar/phone/NotificationPanelViewController.java
index 1870588f34aef..3d3a1da1cf82c 100644
--- a/packages/SystemUI/src/com/android/systemui/statusbar/phone/NotificationPanelViewController.java
+++ b/packages/SystemUI/src/com/android/systemui/statusbar/phone/NotificationPanelViewController.java
@@ -20,6 +20,7 @@ import static android.app.StatusBarManager.WINDOW_STATE_SHOWING;
 import static android.view.View.GONE;
 import static android.view.ViewGroup.LayoutParams.WRAP_CONTENT;
 
+import static androidx.constraintlayout.widget.ConstraintSet.BOTTOM;
 import static androidx.constraintlayout.widget.ConstraintSet.END;
 import static androidx.constraintlayout.widget.ConstraintSet.PARENT_ID;
 import static androidx.constraintlayout.widget.ConstraintSet.START;
@@ -414,6 +415,7 @@ public class NotificationPanelViewController extends PanelViewController
     private int mDisplayTopInset = 0; // in pixels
     private int mDisplayRightInset = 0; // in pixels
     private int mSplitShadeStatusBarHeight;
+    private int mSplitShadeNotificationsScrimMarginBottom;
 
     private final KeyguardClockPositionAlgorithm
             mClockPositionAlgorithm =
@@ -1168,6 +1170,9 @@ public class NotificationPanelViewController extends PanelViewController
     public void updateResources() {
         mQuickQsOffsetHeight = SystemBarUtils.getQuickQsOffsetHeight(mView.getContext());
         mSplitShadeStatusBarHeight = Utils.getSplitShadeStatusBarHeight(mView.getContext());
+        mSplitShadeNotificationsScrimMarginBottom =
+                mResources.getDimensionPixelSize(
+                        R.dimen.split_shade_notifications_scrim_margin_bottom);
         int qsWidth = mResources.getDimensionPixelSize(R.dimen.qs_panel_width);
         int panelWidth = mResources.getDimensionPixelSize(R.dimen.notification_panel_width);
         mShouldUseSplitNotificationShade =
@@ -1177,6 +1182,8 @@ public class NotificationPanelViewController extends PanelViewController
             mQs.setInSplitShade(mShouldUseSplitNotificationShade);
         }
 
+        int notificationsBottomMargin = mResources.getDimensionPixelSize(
+                R.dimen.notification_panel_margin_bottom);
         int topMargin = mShouldUseSplitNotificationShade ? mSplitShadeStatusBarHeight :
                 mResources.getDimensionPixelSize(R.dimen.notification_panel_margin_top);
         mSplitShadeHeaderController.setSplitShadeMode(mShouldUseSplitNotificationShade);
@@ -1205,9 +1212,12 @@ public class NotificationPanelViewController extends PanelViewController
         constraintSet.getConstraint(R.id.notification_stack_scroller).layout.mWidth = panelWidth;
         constraintSet.getConstraint(R.id.qs_frame).layout.mWidth = qsWidth;
         constraintSet.setMargin(R.id.notification_stack_scroller, TOP, topMargin);
+        constraintSet.setMargin(R.id.notification_stack_scroller, BOTTOM,
+                notificationsBottomMargin);
         constraintSet.setMargin(R.id.qs_frame, TOP, topMargin);
         constraintSet.applyTo(mNotificationContainerParent);
         mAmbientState.setStackTopMargin(topMargin);
+        mNotificationsQSContainerController.updateMargins();
         mNotificationsQSContainerController.setSplitShadeEnabled(mShouldUseSplitNotificationShade);
 
         updateKeyguardStatusViewAlignment(/* animate= */false);
@@ -2565,7 +2575,8 @@ public class NotificationPanelViewController extends PanelViewController
             right = getView().getRight() + mDisplayRightInset;
         } else {
             top = Math.min(qsPanelBottomY, mSplitShadeStatusBarHeight);
-            bottom = top + mNotificationStackScrollLayoutController.getHeight();
+            bottom = top + mNotificationStackScrollLayoutController.getHeight()
+                    - mSplitShadeNotificationsScrimMarginBottom;
             left = mNotificationStackScrollLayoutController.getLeft();
             right = mNotificationStackScrollLayoutController.getRight();
         }
diff --git a/packages/SystemUI/src/com/android/systemui/statusbar/phone/NotificationsQSContainerController.kt b/packages/SystemUI/src/com/android/systemui/statusbar/phone/NotificationsQSContainerController.kt
index 34bb6d3e1a274..1a885336be5e8 100644
--- a/packages/SystemUI/src/com/android/systemui/statusbar/phone/NotificationsQSContainerController.kt
+++ b/packages/SystemUI/src/com/android/systemui/statusbar/phone/NotificationsQSContainerController.kt
@@ -63,7 +63,7 @@ class NotificationsQSContainerController @Inject constructor(
     }
 
     public override fun onViewAttached() {
-        notificationsBottomMargin = mView.defaultNotificationsMarginBottom
+        updateMargins()
         overviewProxyService.addCallback(taskbarVisibilityListener)
         mView.setInsetsChangedListener(windowInsetsListener)
         mView.setQSFragmentAttachedListener { qs: QS -> qs.setContainerController(this) }
@@ -75,6 +75,10 @@ class NotificationsQSContainerController @Inject constructor(
         mView.removeQSFragmentAttachedListener()
     }
 
+    fun updateMargins() {
+        notificationsBottomMargin = mView.defaultNotificationsMarginBottom
+    }
+
     override fun setCustomizerAnimating(animating: Boolean) {
         if (isQSCustomizerAnimating != animating) {
             isQSCustomizerAnimating = animating
diff --git a/packages/SystemUI/src/com/android/systemui/statusbar/phone/NotificationsQuickSettingsContainer.java b/packages/SystemUI/src/com/android/systemui/statusbar/phone/NotificationsQuickSettingsContainer.java
index 9210a8b5db80b..cecbcdb829c6a 100644
--- a/packages/SystemUI/src/com/android/systemui/statusbar/phone/NotificationsQuickSettingsContainer.java
+++ b/packages/SystemUI/src/com/android/systemui/statusbar/phone/NotificationsQuickSettingsContainer.java
@@ -45,7 +45,6 @@ public class NotificationsQuickSettingsContainer extends ConstraintLayout
     private View mStackScroller;
     private View mKeyguardStatusBar;
 
-    private int mStackScrollerMargin;
     private ArrayList<View> mDrawingOrderedChildren = new ArrayList<>();
     private ArrayList<View> mLayoutDrawingOrder = new ArrayList<>();
     private final Comparator<View> mIndexComparator = Comparator.comparingInt(this::indexOfChild);
@@ -63,7 +62,6 @@ public class NotificationsQuickSettingsContainer extends ConstraintLayout
         super.onFinishInflate();
         mQsFrame = findViewById(R.id.qs_frame);
         mStackScroller = findViewById(R.id.notification_stack_scroller);
-        mStackScrollerMargin = ((LayoutParams) mStackScroller.getLayoutParams()).bottomMargin;
         mKeyguardStatusBar = findViewById(R.id.keyguard_header);
     }
 
@@ -97,7 +95,7 @@ public class NotificationsQuickSettingsContainer extends ConstraintLayout
     }
 
     public int getDefaultNotificationsMarginBottom() {
-        return mStackScrollerMargin;
+        return ((LayoutParams) mStackScroller.getLayoutParams()).bottomMargin;
     }
 
     public void setInsetsChangedListener(Consumer<WindowInsets> onInsetsChangedListener) {
diff --git a/packages/SystemUI/tests/src/com/android/systemui/statusbar/notification/stack/StackScrollAlgorithmTest.kt b/packages/SystemUI/tests/src/com/android/systemui/statusbar/notification/stack/StackScrollAlgorithmTest.kt
index ea681435132eb..1da9bbcdb8368 100644
--- a/packages/SystemUI/tests/src/com/android/systemui/statusbar/notification/stack/StackScrollAlgorithmTest.kt
+++ b/packages/SystemUI/tests/src/com/android/systemui/statusbar/notification/stack/StackScrollAlgorithmTest.kt
@@ -69,10 +69,9 @@ class StackScrollAlgorithmTest : SysuiTestCase() {
 
         stackScrollAlgorithm.resetViewStates(ambientState, /* speedBumpIndex= */ 0)
 
-        val closeHandleUnderlapHeight =
-            context.resources.getDimensionPixelSize(R.dimen.close_handle_underlap)
-        val fullHeight =
-            ambientState.layoutMaxHeight + closeHandleUnderlapHeight - ambientState.stackY
+        val marginBottom =
+            context.resources.getDimensionPixelSize(R.dimen.notification_panel_margin_bottom)
+        val fullHeight = ambientState.layoutMaxHeight + marginBottom - ambientState.stackY
         val centeredY = ambientState.stackY + fullHeight / 2f - emptyShadeView.height / 2f
         assertThat(emptyShadeView.viewState?.yTranslation).isEqualTo(centeredY)
     }
diff --git a/packages/SystemUI/tests/src/com/android/systemui/statusbar/phone/NotificationQSContainerControllerTest.kt b/packages/SystemUI/tests/src/com/android/systemui/statusbar/phone/NotificationQSContainerControllerTest.kt
index 337e645927506..77e90256ab706 100644
--- a/packages/SystemUI/tests/src/com/android/systemui/statusbar/phone/NotificationQSContainerControllerTest.kt
+++ b/packages/SystemUI/tests/src/com/android/systemui/statusbar/phone/NotificationQSContainerControllerTest.kt
@@ -215,6 +215,18 @@ class NotificationQSContainerControllerTest : SysuiTestCase() {
         then(expectedContainerPadding = 0)
     }
 
+    @Test
+    fun testNotificationsMarginBottomIsUpdated() {
+        notificationsQSContainerController.splitShadeEnabled = true
+        verify(notificationsQSContainer).setNotificationsMarginBottom(NOTIFICATIONS_MARGIN)
+
+        whenever(notificationsQSContainer.defaultNotificationsMarginBottom).thenReturn(100)
+        notificationsQSContainerController.updateMargins()
+        notificationsQSContainerController.splitShadeEnabled = false
+
+        verify(notificationsQSContainer).setNotificationsMarginBottom(100)
+    }
+
     private fun given(
         taskbarVisible: Boolean,
         navigationMode: Int,