diff --git a/changelogs/fragments/5206-proxmox-conditional-vmid.yml b/changelogs/fragments/5206-proxmox-conditional-vmid.yml
new file mode 100644
index 0000000000..b558d137c3
--- /dev/null
+++ b/changelogs/fragments/5206-proxmox-conditional-vmid.yml
@@ -0,0 +1,3 @@
+---
+bugfixes:
+  - proxmox_kvm - replace new condition with proper condition to allow for using ``vmid`` on update (https://github.com/ansible-collections/community.general/pull/5206).
diff --git a/plugins/modules/cloud/misc/proxmox_kvm.py b/plugins/modules/cloud/misc/proxmox_kvm.py
index 15a59be815..dc2d6e5aae 100644
--- a/plugins/modules/cloud/misc/proxmox_kvm.py
+++ b/plugins/modules/cloud/misc/proxmox_kvm.py
@@ -1243,8 +1243,10 @@ def main():
                 module.exit_json(changed=False, vmid=vmid, msg="VM with vmid <%s> already exists" % vmid)
             elif proxmox.get_vmid(name, ignore_missing=True) and not (update or clone):
                 module.exit_json(changed=False, vmid=proxmox.get_vmid(name), msg="VM with name <%s> already exists" % name)
-            elif (not node) or (not name):
-                module.fail_json(msg='node, name is mandatory for creating/updating vm')
+            elif not node:
+                module.fail.json(msg='node is mandatory for creating/updating VM')
+            elif update and not any([vmid, name]):
+                module.fail_json(msg='vmid or name is mandatory for updating VM')
             elif not proxmox.get_node(node):
                 module.fail_json(msg="node '%s' does not exist in cluster" % node)