diff --git a/dbt/adapters/sqlserver/sqlserver_connections.py b/dbt/adapters/sqlserver/sqlserver_connections.py
index a91baeb1..c4424656 100644
--- a/dbt/adapters/sqlserver/sqlserver_connections.py
+++ b/dbt/adapters/sqlserver/sqlserver_connections.py
@@ -11,7 +11,6 @@
 from dbt.adapters.fabric.fabric_connection_manager import (
     AZURE_CREDENTIAL_SCOPE,
     bool_to_connection_string_arg,
-    get_pyodbc_attrs_before_accesstoken,
     get_pyodbc_attrs_before_credentials,
 )
 
@@ -136,10 +135,7 @@ def open(cls, connection: Connection) -> Connection:
         def connect():
             logger.debug(f"Using connection string: {con_str_display}")
 
-            if credentials.authentication == "ActiveDirectoryAccessToken":
-                attrs_before = get_pyodbc_attrs_before_accesstoken(credentials.access_token)
-            else:
-                attrs_before = get_pyodbc_attrs_before_credentials(credentials)
+            attrs_before = get_pyodbc_attrs_before_credentials(credentials)
 
             handle = pyodbc.connect(
                 con_str_concat,
diff --git a/dbt/adapters/sqlserver/sqlserver_relation.py b/dbt/adapters/sqlserver/sqlserver_relation.py
index f95bdd7f..508edc60 100644
--- a/dbt/adapters/sqlserver/sqlserver_relation.py
+++ b/dbt/adapters/sqlserver/sqlserver_relation.py
@@ -30,9 +30,9 @@ def render_limited(self) -> str:
         if self.limit is None:
             return rendered
         elif self.limit == 0:
-            return f"(select * from {rendered} where 1=0) {self._render_limited_alias()}"
+            return f"(select * from {rendered} where 1=0) AS {self._render_limited_alias()}"
         else:
-            return f"(select TOP {self.limit} * from {rendered}) {self._render_limited_alias()}"
+            return f"(select TOP {self.limit} * from {rendered}) AS {self._render_limited_alias()}"
 
     def __post_init__(self):
         # Check for length of Redshift table/view names.
diff --git a/dbt/include/sqlserver/macros/materializations/unit_test/unit_test_create_table_as.sql b/dbt/include/sqlserver/macros/materializations/unit_test/unit_test_create_table_as.sql
new file mode 100644
index 00000000..733e0027
--- /dev/null
+++ b/dbt/include/sqlserver/macros/materializations/unit_test/unit_test_create_table_as.sql
@@ -0,0 +1,68 @@
+{% macro check_for_nested_cte(sql) %}
+    {% if execute %}  {# Ensure this runs only at execution time #}
+        {% set cleaned_sql = sql | lower | replace("\n", " ") %}  {# Convert to lowercase and remove newlines #}
+        {% set cte_count = cleaned_sql.count("with ") %}  {# Count occurrences of "WITH " #}
+        {% if cte_count > 1 %}
+            {{ return(True) }}
+        {% else %}
+            {{ return(False) }}  {# No nested CTEs found #}
+        {% endif %}
+    {% else %}
+        {{ return(False) }}  {# Return False during parsing #}
+    {% endif %}
+{% endmacro %}
+
+{% macro sqlserver__unit_test_create_table_as(temporary, relation, sql) -%}
+    {%- set query_label = apply_label() -%}
+    {%- set contract_config = config.get('contract') -%}
+    {%- set is_nested_cte = check_for_nested_cte(sql) -%}
+
+    {%- if is_nested_cte -%}
+        {{ exceptions.warn(
+            "Nested CTE warning: Nested CTEs do not support CTAS. However, 2-level nested CTEs are supported due to a code bug. Please expect this fix in the future."
+        ) }}
+    {%- endif -%}
+
+    {%- if is_nested_cte and contract_config.enforced -%}
+
+        {{ exceptions.raise_compiler_error(
+            "Unit test Materialization error: Since the contract is enforced and the model contains a nested CTE, unit tests cannot be materialized. Please refactor your model or unenforce model and try again."
+        ) }}
+
+    {%- elif not is_nested_cte and contract_config.enforced -%}
+
+        {# Build CREATE TABLE + INSERT using a temporary view to avoid CTAS semantics #}
+        CREATE TABLE {{ relation }}
+        {{ build_columns_constraints(relation) }}
+        {{ get_assert_columns_equivalent(sql)  }};
+
+        {%- set listColumns -%}
+            {%- for column in model['columns'] -%}
+                {{ "["~column~"]" }}{{ ", " if not loop.last }}
+            {%- endfor -%}
+        {%- endset -%}
+
+        {%- set tmp_vw_relation = relation.incorporate(path={"identifier": relation.identifier ~ '__dbt_tmp_vw'}, type='view') -%}
+        {%- do adapter.drop_relation(tmp_vw_relation) -%}
+        {{ get_create_view_as_sql(tmp_vw_relation, sql) }}
+
+        INSERT INTO {{ relation }} ({{ listColumns }})
+        SELECT {{ listColumns }} FROM {{ tmp_vw_relation }} {{ query_label }};
+
+        DROP VIEW IF EXISTS {{ tmp_vw_relation.schema }}.{{ tmp_vw_relation.identifier }};
+
+    {%- else -%}
+
+        {# Default: use SELECT INTO from an intermediate view so CTEs are preserved and labels are placed inside the selectable statement #}
+        {%- set tmp_vw_relation = relation.incorporate(path={"identifier": relation.identifier ~ '__dbt_tmp_vw'}, type='view') -%}
+        {%- do adapter.drop_relation(tmp_vw_relation) -%}
+
+        {{ get_create_view_as_sql(tmp_vw_relation, sql) }}
+
+        SELECT * INTO {{ relation }} FROM {{ tmp_vw_relation }} {{ query_label }};
+
+        DROP VIEW IF EXISTS {{ tmp_vw_relation.schema }}.{{ tmp_vw_relation.identifier }};
+
+    {%- endif -%}
+
+{%- endmacro %}
diff --git a/dbt/include/sqlserver/macros/materializations/unit_test/unit_test_table.sql b/dbt/include/sqlserver/macros/materializations/unit_test/unit_test_table.sql
new file mode 100644
index 00000000..424bd432
--- /dev/null
+++ b/dbt/include/sqlserver/macros/materializations/unit_test/unit_test_table.sql
@@ -0,0 +1,40 @@
+{%- materialization unit, adapter='sqlserver' -%}
+
+  {% set relations = [] %}
+
+  {% set expected_rows = config.get('expected_rows') %}
+  {% set expected_sql = config.get('expected_sql') %}
+  {% set tested_expected_column_names = expected_rows[0].keys() if (expected_rows | length ) > 0 else get_columns_in_query(sql) %}
+
+  {%- set target_relation = this.incorporate(type='table') -%}
+  {%- set temp_relation = make_temp_relation(target_relation)-%}
+  {% do run_query(sqlserver__unit_test_create_table_as(True, temp_relation, get_empty_subquery_sql(sql))) %}
+  {%- set columns_in_relation = adapter.get_columns_in_relation(temp_relation) -%}
+  {%- set column_name_to_data_types = {} -%}
+  {%- set column_name_to_quoted = {} -%}
+  {%- for column in columns_in_relation -%}
+  {%-   do column_name_to_data_types.update({column.name|lower: column.data_type}) -%}
+  {%-   do column_name_to_quoted.update({column.name|lower: column.quoted}) -%}
+  {%- endfor -%}
+
+  {%- set expected_column_names_quoted = [] -%}
+  {%- for column_name in tested_expected_column_names -%}
+  {%-   do expected_column_names_quoted.append(column_name_to_quoted[column_name]) -%}
+  {%- endfor -%}
+
+  {% if not expected_sql %}
+  {%   set expected_sql = get_expected_sql(expected_rows, column_name_to_data_types, column_name_to_quoted) %}
+  {% endif %}
+  {% set unit_test_sql = get_unit_test_sql(sql, expected_sql, expected_column_names_quoted) %}
+
+  {% call statement('main', fetch_result=True) -%}
+
+    {{ unit_test_sql }}
+
+  {%- endcall %}
+
+  {% do adapter.drop_relation(temp_relation) %}
+
+  {{ return({'relations': relations}) }}
+
+{%- endmaterialization -%}
diff --git a/dbt/include/sqlserver/macros/unit_test_sql/get_fixture_sql.sql b/dbt/include/sqlserver/macros/unit_test_sql/get_fixture_sql.sql
new file mode 100644
index 00000000..17e6e791
--- /dev/null
+++ b/dbt/include/sqlserver/macros/unit_test_sql/get_fixture_sql.sql
@@ -0,0 +1,17 @@
+{% macro get_expected_sql(rows, column_name_to_data_types, column_name_to_quoted) %}
+
+{%- if (rows | length) == 0 -%}
+    select top 0 * from dbt_internal_unit_test_actual where 1=0
+{%- else -%}
+{%- for row in rows -%}
+{%- set formatted_row = format_row(row, column_name_to_data_types) -%}
+select
+{%- for column_name, column_value in formatted_row.items() %} {{ column_value }} as {{ column_name_to_quoted[column_name] }}{% if not loop.last -%}, {%- endif %}
+{%- endfor %}
+{%- if not loop.last %}
+union all
+{% endif %}
+{%- endfor -%}
+{%- endif -%}
+
+{% endmacro %}
diff --git a/setup.py b/setup.py
index 0a63ce6d..8c37edc4 100644
--- a/setup.py
+++ b/setup.py
@@ -66,7 +66,7 @@ def run(self):
     packages=find_namespace_packages(include=["dbt", "dbt.*"]),
     include_package_data=True,
     install_requires=[
-        "dbt-fabric==1.9.3",
+        "dbt-fabric==1.9.6",
         "dbt-core>=1.9.0,<2.0",
         "dbt-common>=1.0,<2.0",
         "dbt-adapters>=1.11.0,<2.0",