diff --git a/plugins/fir-plugin-prototype/plugin-annotations/src/org/jetbrains/kotlin/fir/plugin/annotations.kt b/plugins/fir-plugin-prototype/plugin-annotations/src/org/jetbrains/kotlin/fir/plugin/annotations.kt
index 574c08d6496..bfa233804e5 100644
--- a/plugins/fir-plugin-prototype/plugin-annotations/src/org/jetbrains/kotlin/fir/plugin/annotations.kt
+++ b/plugins/fir-plugin-prototype/plugin-annotations/src/org/jetbrains/kotlin/fir/plugin/annotations.kt
@@ -34,8 +34,7 @@ annotation class SupertypeWithTypeArgument(val kClass: KClass<*>)
 
 annotation class MetaSupertype
 
-@Target(AnnotationTarget.FUNCTION, AnnotationTarget.TYPE, AnnotationTarget.EXPRESSION)
-@Retention(AnnotationRetention.SOURCE)
+@Target(AnnotationTarget.FUNCTION, AnnotationTarget.TYPE)
 annotation class MyComposable
 
 annotation class AllPropertiesConstructor
diff --git a/plugins/fir-plugin-prototype/plugin-annotations/src/org/jetbrains/kotlin/fir/plugin/functionsForFunctionalKindsTest.kt b/plugins/fir-plugin-prototype/plugin-annotations/src/org/jetbrains/kotlin/fir/plugin/functionsForFunctionalKindsTest.kt
new file mode 100644
index 00000000000..8b55ef81d84
--- /dev/null
+++ b/plugins/fir-plugin-prototype/plugin-annotations/src/org/jetbrains/kotlin/fir/plugin/functionsForFunctionalKindsTest.kt
@@ -0,0 +1,13 @@
+/*
+ * Copyright 2010-2023 JetBrains s.r.o. and Kotlin Programming Language contributors.
+ * Use of this source code is governed by the Apache 2.0 license that can be found in the license/LICENSE.txt file.
+ */
+
+package org.jetbrains.kotlin.fir.plugin
+
+class Box<T>(val value: T)
+
+fun produceComposableFunction(): @MyComposable () -> Unit = null!!
+fun consumeComposableFunction(@Suppress("UNUSED_PARAMETER") block: @MyComposable () -> Unit) {}
+
+fun produceBoxedComposableFunction(): Box<@MyComposable () -> Unit> = Box(produceComposableFunction())
diff --git a/plugins/fir-plugin-prototype/plugin-annotations/src/org/jetbrains/kotlin/fir/plugin/functionsForTypeAttributesTest.kt b/plugins/fir-plugin-prototype/plugin-annotations/src/org/jetbrains/kotlin/fir/plugin/functionsForTypeAttributesTest.kt
new file mode 100644
index 00000000000..ccf51fff0ff
--- /dev/null
+++ b/plugins/fir-plugin-prototype/plugin-annotations/src/org/jetbrains/kotlin/fir/plugin/functionsForTypeAttributesTest.kt
@@ -0,0 +1,11 @@
+/*
+ * Copyright 2010-2023 JetBrains s.r.o. and Kotlin Programming Language contributors.
+ * Use of this source code is governed by the Apache 2.0 license that can be found in the license/LICENSE.txt file.
+ */
+
+package org.jetbrains.kotlin.fir.plugin
+
+fun producePositiveInt(): @Positive Int = 1
+fun consumePositiveInt(@Suppress("UNUSED_PARAMETER") x: @Positive Int) {}
+
+fun produceBoxedPositiveInt(): Box<@Positive Int> = Box(1)
diff --git a/plugins/fir-plugin-prototype/testData/diagnostics/checkers/dependencyWithoutAttributePlugin.fir.txt b/plugins/fir-plugin-prototype/testData/diagnostics/checkers/dependencyWithoutAttributePlugin.fir.txt
new file mode 100644
index 00000000000..a9d482f644b
--- /dev/null
+++ b/plugins/fir-plugin-prototype/testData/diagnostics/checkers/dependencyWithoutAttributePlugin.fir.txt
@@ -0,0 +1,24 @@
+FILE: dependencyWithoutAttributePlugin.kt
+    public final fun takePositive(x: R|@Positive kotlin/Number|): R|kotlin/Unit| {
+    }
+    public final fun takeNegative(x: R|@Negative kotlin/Number|): R|kotlin/Unit| {
+    }
+    public final fun takeAny(x: R|kotlin/Number|): R|kotlin/Unit| {
+    }
+    public final fun test_1(positiveInt: R|@Positive kotlin/Int|, negativeInt: R|@Negative kotlin/Int|, someInt: R|kotlin/Int|): R|kotlin/Unit| {
+        R|org/jetbrains/kotlin/fir/plugin/consumePositiveInt|(R|<local>/positiveInt|)
+        R|org/jetbrains/kotlin/fir/plugin/consumePositiveInt|(R|<local>/negativeInt|)
+        R|org/jetbrains/kotlin/fir/plugin/consumePositiveInt|(R|<local>/someInt|)
+    }
+    public final fun test_2(): R|kotlin/Unit| {
+        lval x: R|@R|org/jetbrains/kotlin/fir/plugin/Positive|()  kotlin/Int| = R|org/jetbrains/kotlin/fir/plugin/producePositiveInt|()
+        R|/takePositive|(R|<local>/x|)
+        R|/takeNegative|(R|<local>/x|)
+        R|/takeAny|(R|<local>/x|)
+    }
+    public final fun test_3(): R|kotlin/Unit| {
+        lval x: R|@R|org/jetbrains/kotlin/fir/plugin/Positive|()  kotlin/Int| = R|org/jetbrains/kotlin/fir/plugin/produceBoxedPositiveInt|().R|SubstitutionOverride<org/jetbrains/kotlin/fir/plugin/Box.value: R|@R|org/jetbrains/kotlin/fir/plugin/Positive|()  kotlin/Int|>|
+        R|/takePositive|(R|<local>/x|)
+        R|/takeNegative|(R|<local>/x|)
+        R|/takeAny|(R|<local>/x|)
+    }
diff --git a/plugins/fir-plugin-prototype/testData/diagnostics/checkers/dependencyWithoutAttributePlugin.kt b/plugins/fir-plugin-prototype/testData/diagnostics/checkers/dependencyWithoutAttributePlugin.kt
new file mode 100644
index 00000000000..e29f2ca3314
--- /dev/null
+++ b/plugins/fir-plugin-prototype/testData/diagnostics/checkers/dependencyWithoutAttributePlugin.kt
@@ -0,0 +1,29 @@
+import org.jetbrains.kotlin.fir.plugin.*
+
+fun takePositive(x: @Positive Number) {}
+fun takeNegative(x: @Negative Number) {}
+fun takeAny(x: Number) {}
+
+fun test_1(
+    positiveInt: @Positive Int,
+    negativeInt: @Negative Int,
+    someInt: Int
+) {
+    consumePositiveInt(positiveInt)
+    consumePositiveInt(negativeInt) // should be error
+    consumePositiveInt(someInt) // should be error
+}
+
+fun test_2() {
+    val x = producePositiveInt()
+    takePositive(<!ILLEGAL_NUMBER_SIGN!>x<!>)
+    takeNegative(<!ILLEGAL_NUMBER_SIGN!>x<!>) // should be error
+    takeAny(x)
+}
+
+fun test_3() {
+    val x = produceBoxedPositiveInt().value
+    takePositive(<!ILLEGAL_NUMBER_SIGN!>x<!>)
+    takeNegative(<!ILLEGAL_NUMBER_SIGN!>x<!>) // should be error
+    takeAny(x)
+}
diff --git a/plugins/fir-plugin-prototype/testData/diagnostics/functionalTypes/dependencyWithoutFunctionalKindPlugin.fir.txt b/plugins/fir-plugin-prototype/testData/diagnostics/functionalTypes/dependencyWithoutFunctionalKindPlugin.fir.txt
new file mode 100644
index 00000000000..6a3d873c02b
--- /dev/null
+++ b/plugins/fir-plugin-prototype/testData/diagnostics/functionalTypes/dependencyWithoutFunctionalKindPlugin.fir.txt
@@ -0,0 +1,26 @@
+FILE: dependencyWithoutFunctionalKindPlugin.kt
+    public final fun consumeRegularFunction(block: R|() -> kotlin/Unit|): R|kotlin/Unit| {
+    }
+    public final fun consumeSuspendFunction(block: R|suspend () -> kotlin/Unit|): R|kotlin/Unit| {
+    }
+    public final fun consumeOurComposableFunction(block: R|@R|org/jetbrains/kotlin/fir/plugin/MyComposable|()  some/MyComposableFunction0<kotlin/Unit>|): R|kotlin/Unit| {
+    }
+    public final fun test_1(block: R|() -> kotlin/Unit|, composableBlock: R|@R|org/jetbrains/kotlin/fir/plugin/MyComposable|()  some/MyComposableFunction0<kotlin/Unit>|, suspendBlock: R|suspend () -> kotlin/Unit|): R|kotlin/Unit| {
+        R|org/jetbrains/kotlin/fir/plugin/consumeComposableFunction|(R|<local>/block|)
+        R|org/jetbrains/kotlin/fir/plugin/consumeComposableFunction<Inapplicable(INAPPLICABLE): org/jetbrains/kotlin/fir/plugin/consumeComposableFunction>#|(R|<local>/composableBlock|)
+        R|org/jetbrains/kotlin/fir/plugin/consumeComposableFunction<Inapplicable(INAPPLICABLE): org/jetbrains/kotlin/fir/plugin/consumeComposableFunction>#|(R|<local>/suspendBlock|)
+    }
+    public final fun test_2(): R|kotlin/Unit| {
+        lval block: R|() -> kotlin/Unit| = R|org/jetbrains/kotlin/fir/plugin/produceComposableFunction|()
+        R|/consumeRegularFunction|(R|<local>/block|)
+        R|/consumeSuspendFunction|(R|<local>/block|)
+        R|/consumeOurComposableFunction|(R|<local>/block|)
+        R|org/jetbrains/kotlin/fir/plugin/consumeComposableFunction|(R|<local>/block|)
+    }
+    public final fun test_3(): R|kotlin/Unit| {
+        lval block: R|() -> kotlin/Unit| = R|org/jetbrains/kotlin/fir/plugin/produceBoxedComposableFunction|().R|SubstitutionOverride<org/jetbrains/kotlin/fir/plugin/Box.value: R|() -> kotlin/Unit|>|
+        R|/consumeRegularFunction|(R|<local>/block|)
+        R|/consumeSuspendFunction|(R|<local>/block|)
+        R|/consumeOurComposableFunction|(R|<local>/block|)
+        R|org/jetbrains/kotlin/fir/plugin/consumeComposableFunction|(R|<local>/block|)
+    }
diff --git a/plugins/fir-plugin-prototype/testData/diagnostics/functionalTypes/dependencyWithoutFunctionalKindPlugin.kt b/plugins/fir-plugin-prototype/testData/diagnostics/functionalTypes/dependencyWithoutFunctionalKindPlugin.kt
new file mode 100644
index 00000000000..6823d46d392
--- /dev/null
+++ b/plugins/fir-plugin-prototype/testData/diagnostics/functionalTypes/dependencyWithoutFunctionalKindPlugin.kt
@@ -0,0 +1,31 @@
+import org.jetbrains.kotlin.fir.plugin.*
+
+fun consumeRegularFunction(block: () -> Unit) {}
+fun consumeSuspendFunction(block: suspend () -> Unit) {}
+fun consumeOurComposableFunction(block: @MyComposable () -> Unit) {}
+
+fun test_1(
+    block: () -> Unit,
+    composableBlock: @MyComposable () -> Unit,
+    suspendBlock: suspend () -> Unit,
+) {
+    consumeComposableFunction(block)
+    consumeComposableFunction(<!ARGUMENT_TYPE_MISMATCH!>composableBlock<!>)
+    consumeComposableFunction(<!ARGUMENT_TYPE_MISMATCH!>suspendBlock<!>) // should be error
+}
+
+fun test_2() {
+    val block = produceComposableFunction()
+    consumeRegularFunction(block) // should be error
+    consumeSuspendFunction(block) // should be error
+    consumeOurComposableFunction(block)
+    consumeComposableFunction(block)
+}
+
+fun test_3() {
+    val block = produceBoxedComposableFunction().value
+    consumeRegularFunction(block) // should be error
+    consumeSuspendFunction(block) // should be error
+    consumeOurComposableFunction(block)
+    consumeComposableFunction(block)
+}
diff --git a/plugins/fir-plugin-prototype/tests-gen/org/jetbrains/kotlin/fir/plugin/runners/FirPsiPluginDiagnosticTestGenerated.java b/plugins/fir-plugin-prototype/tests-gen/org/jetbrains/kotlin/fir/plugin/runners/FirPsiPluginDiagnosticTestGenerated.java
index 8999f69bda2..e7548901c38 100644
--- a/plugins/fir-plugin-prototype/tests-gen/org/jetbrains/kotlin/fir/plugin/runners/FirPsiPluginDiagnosticTestGenerated.java
+++ b/plugins/fir-plugin-prototype/tests-gen/org/jetbrains/kotlin/fir/plugin/runners/FirPsiPluginDiagnosticTestGenerated.java
@@ -33,6 +33,12 @@ public class FirPsiPluginDiagnosticTestGenerated extends AbstractFirPsiPluginDia
             KtTestUtil.assertAllTestsPresentByMetadataWithExcluded(this.getClass(), new File("plugins/fir-plugin-prototype/testData/diagnostics/checkers"), Pattern.compile("^(.+)\\.kt$"), null, true);
         }
 
+        @Test
+        @TestMetadata("dependencyWithoutAttributePlugin.kt")
+        public void testDependencyWithoutAttributePlugin() throws Exception {
+            runTest("plugins/fir-plugin-prototype/testData/diagnostics/checkers/dependencyWithoutAttributePlugin.kt");
+        }
+
         @Test
         @TestMetadata("signedNumbersCheckers.kt")
         public void testSignedNumbersCheckers() throws Exception {
@@ -61,6 +67,12 @@ public class FirPsiPluginDiagnosticTestGenerated extends AbstractFirPsiPluginDia
             runTest("plugins/fir-plugin-prototype/testData/diagnostics/functionalTypes/ambigousKinds.kt");
         }
 
+        @Test
+        @TestMetadata("dependencyWithoutFunctionalKindPlugin.kt")
+        public void testDependencyWithoutFunctionalKindPlugin() throws Exception {
+            runTest("plugins/fir-plugin-prototype/testData/diagnostics/functionalTypes/dependencyWithoutFunctionalKindPlugin.kt");
+        }
+
         @Test
         @TestMetadata("inference.kt")
         public void testInference() throws Exception {