diff --git a/analysis/low-level-api-fir/tests/org/jetbrains/kotlin/analysis/low/level/api/fir/diagnostic/compiler/based/DiagnosticCompilerTestFE10TestdataTestGenerated.java b/analysis/low-level-api-fir/tests/org/jetbrains/kotlin/analysis/low/level/api/fir/diagnostic/compiler/based/DiagnosticCompilerTestFE10TestdataTestGenerated.java
index e708eb2a7ae..608ecebb9ba 100644
--- a/analysis/low-level-api-fir/tests/org/jetbrains/kotlin/analysis/low/level/api/fir/diagnostic/compiler/based/DiagnosticCompilerTestFE10TestdataTestGenerated.java
+++ b/analysis/low-level-api-fir/tests/org/jetbrains/kotlin/analysis/low/level/api/fir/diagnostic/compiler/based/DiagnosticCompilerTestFE10TestdataTestGenerated.java
@@ -2100,6 +2100,12 @@ public class DiagnosticCompilerTestFE10TestdataTestGenerated extends AbstractDia
                 runTest("compiler/testData/diagnostics/tests/annotations/nestedAliasWithNestedAnnotationInLocalClass.kt");
             }
 
+            @Test
+            @TestMetadata("nestedAnnotationOnOuterClassDeclaration.kt")
+            public void testNestedAnnotationOnOuterClassDeclaration() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/annotations/nestedAnnotationOnOuterClassDeclaration.kt");
+            }
+
             @Test
             @TestMetadata("nestedClassAsAnnotationParameter.kt")
             public void testNestedClassAsAnnotationParameter() throws Exception {
diff --git a/analysis/low-level-api-fir/tests/org/jetbrains/kotlin/analysis/low/level/api/fir/diagnostic/compiler/based/LLFirPreresolvedReversedDiagnosticCompilerFE10TestDataTestGenerated.java b/analysis/low-level-api-fir/tests/org/jetbrains/kotlin/analysis/low/level/api/fir/diagnostic/compiler/based/LLFirPreresolvedReversedDiagnosticCompilerFE10TestDataTestGenerated.java
index 0628dd5fb59..60478e1c37c 100644
--- a/analysis/low-level-api-fir/tests/org/jetbrains/kotlin/analysis/low/level/api/fir/diagnostic/compiler/based/LLFirPreresolvedReversedDiagnosticCompilerFE10TestDataTestGenerated.java
+++ b/analysis/low-level-api-fir/tests/org/jetbrains/kotlin/analysis/low/level/api/fir/diagnostic/compiler/based/LLFirPreresolvedReversedDiagnosticCompilerFE10TestDataTestGenerated.java
@@ -2100,6 +2100,12 @@ public class LLFirPreresolvedReversedDiagnosticCompilerFE10TestDataTestGenerated
                 runTest("compiler/testData/diagnostics/tests/annotations/nestedAliasWithNestedAnnotationInLocalClass.kt");
             }
 
+            @Test
+            @TestMetadata("nestedAnnotationOnOuterClassDeclaration.kt")
+            public void testNestedAnnotationOnOuterClassDeclaration() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/annotations/nestedAnnotationOnOuterClassDeclaration.kt");
+            }
+
             @Test
             @TestMetadata("nestedClassAsAnnotationParameter.kt")
             public void testNestedClassAsAnnotationParameter() throws Exception {
diff --git a/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirLightTreeOldFrontendDiagnosticsTestGenerated.java b/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirLightTreeOldFrontendDiagnosticsTestGenerated.java
index 97e4a82998a..8b7bfa85797 100644
--- a/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirLightTreeOldFrontendDiagnosticsTestGenerated.java
+++ b/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirLightTreeOldFrontendDiagnosticsTestGenerated.java
@@ -2094,6 +2094,12 @@ public class FirLightTreeOldFrontendDiagnosticsTestGenerated extends AbstractFir
                 runTest("compiler/testData/diagnostics/tests/annotations/nestedAliasWithNestedAnnotationInLocalClass.kt");
             }
 
+            @Test
+            @TestMetadata("nestedAnnotationOnOuterClassDeclaration.kt")
+            public void testNestedAnnotationOnOuterClassDeclaration() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/annotations/nestedAnnotationOnOuterClassDeclaration.kt");
+            }
+
             @Test
             @TestMetadata("nestedClassAsAnnotationParameter.kt")
             public void testNestedClassAsAnnotationParameter() throws Exception {
diff --git a/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirPsiOldFrontendDiagnosticsTestGenerated.java b/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirPsiOldFrontendDiagnosticsTestGenerated.java
index 4c89450709c..cd0faabdc99 100644
--- a/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirPsiOldFrontendDiagnosticsTestGenerated.java
+++ b/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirPsiOldFrontendDiagnosticsTestGenerated.java
@@ -2100,6 +2100,12 @@ public class FirPsiOldFrontendDiagnosticsTestGenerated extends AbstractFirPsiDia
                 runTest("compiler/testData/diagnostics/tests/annotations/nestedAliasWithNestedAnnotationInLocalClass.kt");
             }
 
+            @Test
+            @TestMetadata("nestedAnnotationOnOuterClassDeclaration.kt")
+            public void testNestedAnnotationOnOuterClassDeclaration() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/annotations/nestedAnnotationOnOuterClassDeclaration.kt");
+            }
+
             @Test
             @TestMetadata("nestedClassAsAnnotationParameter.kt")
             public void testNestedClassAsAnnotationParameter() throws Exception {
diff --git a/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/transformers/FirSupertypesResolution.kt b/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/transformers/FirSupertypesResolution.kt
index 4ee08ce6d38..1b29d76571a 100644
--- a/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/transformers/FirSupertypesResolution.kt
+++ b/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/transformers/FirSupertypesResolution.kt
@@ -721,10 +721,12 @@ open class SupertypeComputationSession {
             var isErrorInSupertypesFound = false
             val resultSupertypeRefs = mutableListOf<FirResolvedTypeRef>()
             for (supertypeRef in supertypeRefs) {
-                for (annotation in supertypeRef.annotations) {
-                    val resolvedType = annotation.resolvedType as? ConeClassLikeType ?: continue
-                    val typeArgumentClassLikeDeclaration = resolvedType.lookupTag.toSymbol(session)?.fir
-                    checkIsInLoop(typeArgumentClassLikeDeclaration, wasSubtypingInvolved, wereTypeArgumentsInvolved)
+                if (isTypeAlias) {
+                    for (annotation in supertypeRef.annotations) {
+                        val resolvedType = annotation.resolvedType as? ConeClassLikeType ?: continue
+                        val typeArgumentClassLikeDeclaration = resolvedType.lookupTag.toSymbol(session)?.fir
+                        checkIsInLoop(typeArgumentClassLikeDeclaration, wasSubtypingInvolved, wereTypeArgumentsInvolved)
+                    }
                 }
                 val supertypeFir = supertypeRef.firClassLike(session)
                 checkIsInLoop(supertypeFir, isSubtypingInvolved, wereTypeArgumentsInvolved)
diff --git a/compiler/testData/diagnostics/tests/annotations/nestedAnnotationOnOuterClassDeclaration.kt b/compiler/testData/diagnostics/tests/annotations/nestedAnnotationOnOuterClassDeclaration.kt
new file mode 100644
index 00000000000..551bc254e3c
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/annotations/nestedAnnotationOnOuterClassDeclaration.kt
@@ -0,0 +1,10 @@
+// FIR_IDENTICAL
+// ISSUE: KT-64059
+
+interface OuterInterface
+
+class MyClass: @MyClass.NestedAnnotation OuterInterface {
+
+    @Target(AnnotationTarget.CLASS, AnnotationTarget.TYPE)
+    annotation class NestedAnnotation
+}
diff --git a/compiler/tests-common-new/tests-gen/org/jetbrains/kotlin/test/runners/DiagnosticTestGenerated.java b/compiler/tests-common-new/tests-gen/org/jetbrains/kotlin/test/runners/DiagnosticTestGenerated.java
index 4b077cb6f26..2c3e73320d7 100644
--- a/compiler/tests-common-new/tests-gen/org/jetbrains/kotlin/test/runners/DiagnosticTestGenerated.java
+++ b/compiler/tests-common-new/tests-gen/org/jetbrains/kotlin/test/runners/DiagnosticTestGenerated.java
@@ -2100,6 +2100,12 @@ public class DiagnosticTestGenerated extends AbstractDiagnosticTest {
                 runTest("compiler/testData/diagnostics/tests/annotations/nestedAliasWithNestedAnnotationInLocalClass.kt");
             }
 
+            @Test
+            @TestMetadata("nestedAnnotationOnOuterClassDeclaration.kt")
+            public void testNestedAnnotationOnOuterClassDeclaration() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/annotations/nestedAnnotationOnOuterClassDeclaration.kt");
+            }
+
             @Test
             @TestMetadata("nestedClassAsAnnotationParameter.kt")
             public void testNestedClassAsAnnotationParameter() throws Exception {