diff --git a/compiler/tests-spec/build.gradle.kts b/compiler/tests-spec/build.gradle.kts
index 34ae43c99f4..707d1d6f8c9 100644
--- a/compiler/tests-spec/build.gradle.kts
+++ b/compiler/tests-spec/build.gradle.kts
@@ -29,6 +29,7 @@ val remoteRunTests by task<Test> {
     val includeTests = setOf(
         "checkers.DiagnosticsTestSpecGenerated\$NotLinked\$Contracts*",
         "checkers.DiagnosticsTestSpecGenerated\$NotLinked\$Annotations*",
+        "checkers.DiagnosticsTestSpecGenerated\$NotLinked\$Local_variables\$Type_parameters*",
         "codegen.BlackBoxCodegenTestSpecGenerated\$NotLinked\$Annotations\$Type_annotations*",
         "codegen.BlackBoxCodegenTestSpecGenerated\$NotLinked\$Objects\$Inheritance*"
     )
diff --git a/compiler/tests-spec/testData/diagnostics/notLinked/local-variables/type-parameters/neg/1.kt b/compiler/tests-spec/testData/diagnostics/notLinked/local-variables/type-parameters/neg/1.kt
new file mode 100644
index 00000000000..8b9de3de459
--- /dev/null
+++ b/compiler/tests-spec/testData/diagnostics/notLinked/local-variables/type-parameters/neg/1.kt
@@ -0,0 +1,104 @@
+// !DIAGNOSTICS: -UNUSED_VARIABLE
+// SKIP_TXT
+
+/*
+ * KOTLIN DIAGNOSTICS NOT LINKED SPEC TEST (NEGATIVE)
+ *
+ * SECTIONS: local-variables, type-parameters
+ * NUMBER: 1
+ * DESCRIPTION: Local variables with forbidden type parameters.
+ * UNEXPECTED BEHAVIOUR
+ * ISSUES: KT-8341
+ */
+
+// TESTCASE NUMBER: 1
+fun case_1() {
+    val <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><T><!> x1 = 1
+    var <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><T><!> x2 = 1
+}
+
+// TESTCASE NUMBER: 2
+fun case_2() {
+    val <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><T><!> x1: Int = 1
+    var <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><T><!> x2: Int = 1
+}
+
+// TESTCASE NUMBER: 3
+fun case_3() {
+    val <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><T><!> x1: Map<Int, Int> = mapOf(1 to 1)
+    var <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><T><!> x2: Map<Int, Int> = mapOf(1 to 1)
+}
+
+// TESTCASE NUMBER: 4
+fun case_4() {
+    val <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><T><!> y1: Number where <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!>: <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!> = 1
+    var <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><T><!> y2: Number where <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!>: <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!> = 1
+}
+
+// TESTCASE NUMBER: 5
+fun case_5() {
+    val <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><T : <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!>><!> x1: Map<Int, Int> = mapOf(1 to 1)
+    var <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><T : <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!>><!> x2: Map<Int, Int> = mapOf(1 to 1)
+}
+
+/*
+ * TESTCASE NUMBER: 6
+ * UNEXPECTED BEHAVIOUR
+ */
+fun case_6() {
+    val <T : <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!>> (x1, y1) = Pair(1, 2)
+    var <T : <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!>> (x2, y2) = Pair(1, 2)
+}
+
+/*
+ * TESTCASE NUMBER: 7
+ * UNEXPECTED BEHAVIOUR
+ */
+fun case_7() {
+    val <T : <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!>> (x1, y1) where <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!>: <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!> = Pair(1, 2)
+    var <T : <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!>> (x2, y2) where <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!>: <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!> = Pair(1, 2)
+}
+
+// TESTCASE NUMBER: 8
+fun case_8() {
+    val <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><A, B : <!DEBUG_INFO_MISSING_UNRESOLVED!>A<!>, C : <!DEBUG_INFO_MISSING_UNRESOLVED!>B<!>, D : <!DEBUG_INFO_MISSING_UNRESOLVED!>C<!>, E : <!DEBUG_INFO_MISSING_UNRESOLVED!>D<!>><!> x1 = 1
+    var <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><A, B : <!DEBUG_INFO_MISSING_UNRESOLVED!>A<!>, C : <!DEBUG_INFO_MISSING_UNRESOLVED!>B<!>, D : <!DEBUG_INFO_MISSING_UNRESOLVED!>C<!>, E : <!DEBUG_INFO_MISSING_UNRESOLVED!>D<!>><!> x2 = 2
+}
+
+// TESTCASE NUMBER: 9
+fun case_9(y: Boolean?) = when (val <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><T><!> x = y) {
+    true -> null
+    false -> null
+    null -> null
+}
+
+// TESTCASE NUMBER: 10
+fun case_10(x: Boolean?) = when (val <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><T><!> <!NAME_SHADOWING!>x<!> where <!DEBUG_INFO_MISSING_UNRESOLVED!>T<!>: suspend () -> <!DEBUG_INFO_MISSING_UNRESOLVED!>Unit<!>, <!DEBUG_INFO_MISSING_UNRESOLVED!>T<!>: <!DEBUG_INFO_MISSING_UNRESOLVED!>Boolean<!> = x) {
+    true -> null
+    false -> null
+    null -> null
+}
+
+// TESTCASE NUMBER: 11
+fun case_11() {
+    val <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><T><!> <!REDECLARATION!>x<!> by lazy { 1 }
+    var <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><T><!> <!NAME_SHADOWING, REDECLARATION!>x<!> by <!DELEGATE_SPECIAL_FUNCTION_MISSING!>lazy { 1 }<!>
+}
+
+// TESTCASE NUMBER: 12
+fun case_12() {
+    val <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><T : <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!>><!> <!REDECLARATION!>x<!>: Int
+    var <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><T : <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!>><!> <!NAME_SHADOWING, REDECLARATION!>x<!>: Int
+}
+
+// TESTCASE NUMBER: 13
+fun case_13() {
+    val <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><T : <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!>><!> <!REDECLARATION!>x<!>: Int where <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!>: <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!>
+    var <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><T : <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!>><!> <!NAME_SHADOWING, REDECLARATION!>x<!>: Int where <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!>: <!DEBUG_INFO_MISSING_UNRESOLVED!>__UNRESOLVED__<!>
+}
+
+// TESTCASE NUMBER: 14
+fun case_14() {
+    val <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><T : <!DEBUG_INFO_MISSING_UNRESOLVED!>T<!>><!> x1 = 1
+    var <!LOCAL_VARIABLE_WITH_TYPE_PARAMETERS_WARNING!><T : <!DEBUG_INFO_MISSING_UNRESOLVED!>T<!>><!> x2 = 1
+}
diff --git a/compiler/tests-spec/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestSpecGenerated.java b/compiler/tests-spec/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestSpecGenerated.java
index 125d820bfb3..f3e5c2e0032 100644
--- a/compiler/tests-spec/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestSpecGenerated.java
+++ b/compiler/tests-spec/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestSpecGenerated.java
@@ -2369,5 +2369,49 @@ public class DiagnosticsTestSpecGenerated extends AbstractDiagnosticsTestSpec {
                 }
             }
         }
+
+        @TestMetadata("compiler/tests-spec/testData/diagnostics/notLinked/local-variables")
+        @TestDataPath("$PROJECT_ROOT")
+        @RunWith(JUnit3RunnerWithInners.class)
+        public static class Local_variables extends AbstractDiagnosticsTestSpec {
+            private void runTest(String testDataFilePath) throws Exception {
+                KotlinTestUtils.runTest(this::doTest, TargetBackend.ANY, testDataFilePath);
+            }
+
+            public void testAllFilesPresentInLocal_variables() throws Exception {
+                KotlinTestUtils.assertAllTestsPresentByMetadata(this.getClass(), new File("compiler/tests-spec/testData/diagnostics/notLinked/local-variables"), Pattern.compile("^(.+)\\.kt$"), TargetBackend.ANY, true);
+            }
+
+            @TestMetadata("compiler/tests-spec/testData/diagnostics/notLinked/local-variables/type-parameters")
+            @TestDataPath("$PROJECT_ROOT")
+            @RunWith(JUnit3RunnerWithInners.class)
+            public static class Type_parameters extends AbstractDiagnosticsTestSpec {
+                private void runTest(String testDataFilePath) throws Exception {
+                    KotlinTestUtils.runTest(this::doTest, TargetBackend.ANY, testDataFilePath);
+                }
+
+                public void testAllFilesPresentInType_parameters() throws Exception {
+                    KotlinTestUtils.assertAllTestsPresentByMetadata(this.getClass(), new File("compiler/tests-spec/testData/diagnostics/notLinked/local-variables/type-parameters"), Pattern.compile("^(.+)\\.kt$"), TargetBackend.ANY, true);
+                }
+
+                @TestMetadata("compiler/tests-spec/testData/diagnostics/notLinked/local-variables/type-parameters/neg")
+                @TestDataPath("$PROJECT_ROOT")
+                @RunWith(JUnit3RunnerWithInners.class)
+                public static class Neg extends AbstractDiagnosticsTestSpec {
+                    private void runTest(String testDataFilePath) throws Exception {
+                        KotlinTestUtils.runTest(this::doTest, TargetBackend.ANY, testDataFilePath);
+                    }
+
+                    @TestMetadata("1.kt")
+                    public void test1() throws Exception {
+                        runTest("compiler/tests-spec/testData/diagnostics/notLinked/local-variables/type-parameters/neg/1.kt");
+                    }
+
+                    public void testAllFilesPresentInNeg() throws Exception {
+                        KotlinTestUtils.assertAllTestsPresentByMetadata(this.getClass(), new File("compiler/tests-spec/testData/diagnostics/notLinked/local-variables/type-parameters/neg"), Pattern.compile("^(.+)\\.kt$"), TargetBackend.ANY, true);
+                    }
+                }
+            }
+        }
     }
 }