The 49-year-old actor and 38-year-old actress appeared to confirm their romance Monday after years of dating reports.
TMZ published photos Wednesday of Foxx and Holmes showing PDA as they strolled the beach on Labor Day. The pair both wore fedoras, with Holmes in a floral-print dress and Foxx in a t-shirt and track pants.
"They went in the water and were splashing around, flirting and getting close," a source told E! News. "[It was a] romantic date."
Insiders said Foxx's two daughters and Suri Cruise, Holmes' daughter with ex-husband Tom Cruise, weren't present. Foxx and Holmes instead spent the day at a mutual friend's house before ending the evening at the beach near Paradise Cove.
Foxx and Holmes have been linked for years, but have yet to address their relationship status. The pair were spotted at dinner in New York in April, and reportedly enjoyed a rendezvous in Paris the next month.
"She's tired of playing this hiding game," a source told Us Weekly at the time. "They're going to go out to dinner more often and plan to start going public."