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 9d0fae35dc9..7f460335834 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
@@ -17917,6 +17917,12 @@ public class DiagnosticCompilerTestFE10TestdataTestGenerated extends AbstractDia
                     runTest("compiler/testData/diagnostics/tests/inference/capturedTypes/capturingFromArgumentOfFlexibleType.kt");
                 }
 
+                @Test
+                @TestMetadata("capturingOfDnn.kt")
+                public void testCapturingOfDnn() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/capturedTypes/capturingOfDnn.kt");
+                }
+
                 @Test
                 @TestMetadata("differentCapturedTypes.kt")
                 public void testDifferentCapturedTypes() throws Exception {
@@ -33742,6 +33748,12 @@ public class DiagnosticCompilerTestFE10TestdataTestGenerated extends AbstractDia
                 runTest("compiler/testData/diagnostics/tests/sealed/DoubleInner.kt");
             }
 
+            @Test
+            @TestMetadata("ExhaustiveOnCaptured.kt")
+            public void testExhaustiveOnCaptured() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/sealed/ExhaustiveOnCaptured.kt");
+            }
+
             @Test
             @TestMetadata("ExhaustiveOnRoot.kt")
             public void testExhaustiveOnRoot() throws Exception {
diff --git a/analysis/low-level-api-fir/tests/org/jetbrains/kotlin/analysis/low/level/api/fir/diagnostic/compiler/based/DiagnosticCompilerTestFirTestdataTestGenerated.java b/analysis/low-level-api-fir/tests/org/jetbrains/kotlin/analysis/low/level/api/fir/diagnostic/compiler/based/DiagnosticCompilerTestFirTestdataTestGenerated.java
index cc2799a7711..1bbcfd0be91 100644
--- a/analysis/low-level-api-fir/tests/org/jetbrains/kotlin/analysis/low/level/api/fir/diagnostic/compiler/based/DiagnosticCompilerTestFirTestdataTestGenerated.java
+++ b/analysis/low-level-api-fir/tests/org/jetbrains/kotlin/analysis/low/level/api/fir/diagnostic/compiler/based/DiagnosticCompilerTestFirTestdataTestGenerated.java
@@ -3525,6 +3525,12 @@ public class DiagnosticCompilerTestFirTestdataTestGenerated extends AbstractDiag
                 runTest("compiler/fir/analysis-tests/testData/resolve/inference/nullableIntegerLiteralType.kt");
             }
 
+            @Test
+            @TestMetadata("onlyInputTypesCapturedTypeWithRecursiveBounds.kt")
+            public void testOnlyInputTypesCapturedTypeWithRecursiveBounds() throws Exception {
+                runTest("compiler/fir/analysis-tests/testData/resolve/inference/onlyInputTypesCapturedTypeWithRecursiveBounds.kt");
+            }
+
             @Test
             @TestMetadata("overloadResolutionByLambdaArgumentType.kt")
             public void testOverloadResolutionByLambdaArgumentType() 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 11d3ab6179e..9be2eda1080 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
@@ -17917,6 +17917,12 @@ public class LLFirPreresolvedReversedDiagnosticCompilerFE10TestDataTestGenerated
                     runTest("compiler/testData/diagnostics/tests/inference/capturedTypes/capturingFromArgumentOfFlexibleType.kt");
                 }
 
+                @Test
+                @TestMetadata("capturingOfDnn.kt")
+                public void testCapturingOfDnn() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/capturedTypes/capturingOfDnn.kt");
+                }
+
                 @Test
                 @TestMetadata("differentCapturedTypes.kt")
                 public void testDifferentCapturedTypes() throws Exception {
@@ -33742,6 +33748,12 @@ public class LLFirPreresolvedReversedDiagnosticCompilerFE10TestDataTestGenerated
                 runTest("compiler/testData/diagnostics/tests/sealed/DoubleInner.kt");
             }
 
+            @Test
+            @TestMetadata("ExhaustiveOnCaptured.kt")
+            public void testExhaustiveOnCaptured() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/sealed/ExhaustiveOnCaptured.kt");
+            }
+
             @Test
             @TestMetadata("ExhaustiveOnRoot.kt")
             public void testExhaustiveOnRoot() throws Exception {
diff --git a/analysis/low-level-api-fir/tests/org/jetbrains/kotlin/analysis/low/level/api/fir/diagnostic/compiler/based/LLFirPreresolvedReversedDiagnosticCompilerFirTestDataTestGenerated.java b/analysis/low-level-api-fir/tests/org/jetbrains/kotlin/analysis/low/level/api/fir/diagnostic/compiler/based/LLFirPreresolvedReversedDiagnosticCompilerFirTestDataTestGenerated.java
index 94aecb7e227..5880cc27a73 100644
--- a/analysis/low-level-api-fir/tests/org/jetbrains/kotlin/analysis/low/level/api/fir/diagnostic/compiler/based/LLFirPreresolvedReversedDiagnosticCompilerFirTestDataTestGenerated.java
+++ b/analysis/low-level-api-fir/tests/org/jetbrains/kotlin/analysis/low/level/api/fir/diagnostic/compiler/based/LLFirPreresolvedReversedDiagnosticCompilerFirTestDataTestGenerated.java
@@ -3525,6 +3525,12 @@ public class LLFirPreresolvedReversedDiagnosticCompilerFirTestDataTestGenerated
                 runTest("compiler/fir/analysis-tests/testData/resolve/inference/nullableIntegerLiteralType.kt");
             }
 
+            @Test
+            @TestMetadata("onlyInputTypesCapturedTypeWithRecursiveBounds.kt")
+            public void testOnlyInputTypesCapturedTypeWithRecursiveBounds() throws Exception {
+                runTest("compiler/fir/analysis-tests/testData/resolve/inference/onlyInputTypesCapturedTypeWithRecursiveBounds.kt");
+            }
+
             @Test
             @TestMetadata("overloadResolutionByLambdaArgumentType.kt")
             public void testOverloadResolutionByLambdaArgumentType() throws Exception {
diff --git a/compiler/fir/analysis-tests/testData/resolve/inference/kt40131.kt b/compiler/fir/analysis-tests/testData/resolve/inference/kt40131.kt
index daba2e84409..db42a6c57ea 100644
--- a/compiler/fir/analysis-tests/testData/resolve/inference/kt40131.kt
+++ b/compiler/fir/analysis-tests/testData/resolve/inference/kt40131.kt
@@ -6,7 +6,7 @@ val <U> KClass<U>.javaImpl: Class<U>
     get() = null!!
 
 val <T : KClass<*>> T.myJava1: Class<*>
-    get() = <!DEBUG_INFO_EXPRESSION_TYPE("java.lang.Class<out kotlin.Any>")!>javaImpl<!>
+    get() = <!DEBUG_INFO_EXPRESSION_TYPE("java.lang.Class<CapturedType(*)>")!>javaImpl<!>
 
 val <E : Any, T : KClass<E>> T.myJava2: Class<E>
     get() = <!DEBUG_INFO_EXPRESSION_TYPE("java.lang.Class<E>")!>javaImpl<!>
diff --git a/compiler/fir/analysis-tests/testData/resolve/inference/onlyInputTypesCapturedTypeWithRecursiveBounds.fir.txt b/compiler/fir/analysis-tests/testData/resolve/inference/onlyInputTypesCapturedTypeWithRecursiveBounds.fir.txt
new file mode 100644
index 00000000000..3c0f51a20a4
--- /dev/null
+++ b/compiler/fir/analysis-tests/testData/resolve/inference/onlyInputTypesCapturedTypeWithRecursiveBounds.fir.txt
@@ -0,0 +1,75 @@
+FILE: onlyInputTypesCapturedTypeWithRecursiveBounds.kt
+    public abstract interface I : R|kotlin/Any| {
+    }
+    public final enum class MyEnum : R|I|, R|kotlin/Enum<MyEnum>| {
+        private constructor(): R|MyEnum| {
+            super<R|kotlin/Enum<MyEnum>|>()
+        }
+
+        public final static enum entry EnumEntry: R|MyEnum|
+        public final static fun values(): R|kotlin/Array<MyEnum>| {
+        }
+
+        public final static fun valueOf(value: R|kotlin/String|): R|MyEnum| {
+        }
+
+        public final static val entries: R|kotlin/enums/EnumEntries<MyEnum>|
+            public get(): R|kotlin/enums/EnumEntries<MyEnum>|
+
+    }
+    public open class Foo<P : R|kotlin/Enum<P>|, R|I|> : R|kotlin/Any| {
+        public constructor<P : R|kotlin/Enum<P>|, R|I|>(data: R|kotlin/collections/Map<P, kotlin/Any?>|): R|Foo<P>| {
+            super<R|kotlin/Any|>()
+        }
+
+        public final val data: R|kotlin/collections/Map<P, kotlin/Any?>| = R|<local>/data|
+            public get(): R|kotlin/collections/Map<P, kotlin/Any?>|
+
+    }
+    private final fun test(node: R|Foo<*>|): R|kotlin/Unit| {
+        R|<local>/node|.R|SubstitutionOverride</Foo.data: R|kotlin/collections/Map<CapturedType(*), kotlin/Any?>|>|.R|kotlin/collections/get|<R|it(kotlin/Enum<*> & I)|, R|kotlin/Any?|>(Q|MyEnum|.R|/MyEnum.EnumEntry|)
+    }
+    public open class FooEnumMap<P : R|kotlin/Enum<P>|, R|I|> : R|kotlin/Any| {
+        public constructor<P : R|kotlin/Enum<P>|, R|I|>(data: R|java/util/EnumMap<P, kotlin/Any?>|): R|FooEnumMap<P>| {
+            super<R|kotlin/Any|>()
+        }
+
+        public final val data: R|java/util/EnumMap<P, kotlin/Any?>| = R|<local>/data|
+            public get(): R|java/util/EnumMap<P, kotlin/Any?>|
+
+    }
+    private final fun test(node: R|FooEnumMap<*>|): R|kotlin/Unit| {
+        R|<local>/node|.R|SubstitutionOverride</FooEnumMap.data: R|java/util/EnumMap<CapturedType(*), kotlin/Any?>|>|.R|kotlin/collections/get|<R|ft<it(kotlin/Enum<*> & I), it(kotlin/Enum<*>? & I?)>|, R|kotlin/Any!|>(Q|MyEnum|.R|/MyEnum.EnumEntry|)
+    }
+    public open class Foo2<P : R|I|> : R|kotlin/Any| {
+        public constructor<P : R|I|>(data: R|kotlin/collections/Map<P, kotlin/Any?>|): R|Foo2<P>| {
+            super<R|kotlin/Any|>()
+        }
+
+        public final val data: R|kotlin/collections/Map<P, kotlin/Any?>| = R|<local>/data|
+            public get(): R|kotlin/collections/Map<P, kotlin/Any?>|
+
+    }
+    private final fun test(node: R|Foo2<*>|): R|kotlin/Unit| {
+        R|<local>/node|.R|SubstitutionOverride</Foo2.data: R|kotlin/collections/Map<CapturedType(*), kotlin/Any?>|>|.R|kotlin/collections/get|<R|I|, R|kotlin/Any?|>(Q|MyEnum|.R|/MyEnum.EnumEntry|)
+    }
+    public abstract interface I2 : R|kotlin/Any| {
+    }
+    public final object C : R|I|, R|I2| {
+        private constructor(): R|C| {
+            super<R|kotlin/Any|>()
+        }
+
+    }
+    public open class Foo3<P : R|I|, R|I2|> : R|kotlin/Any| {
+        public constructor<P : R|I|, R|I2|>(data: R|kotlin/collections/Map<P, kotlin/Any?>|): R|Foo3<P>| {
+            super<R|kotlin/Any|>()
+        }
+
+        public final val data: R|kotlin/collections/Map<P, kotlin/Any?>| = R|<local>/data|
+            public get(): R|kotlin/collections/Map<P, kotlin/Any?>|
+
+    }
+    public final fun test3(node: R|Foo3<*>|): R|kotlin/Unit| {
+        R|<local>/node|.R|SubstitutionOverride</Foo3.data: R|kotlin/collections/Map<CapturedType(*), kotlin/Any?>|>|.R|kotlin/collections/get|<R|it(I & I2)|, R|kotlin/Any?|>(Q|C|)
+    }
diff --git a/compiler/fir/analysis-tests/testData/resolve/inference/onlyInputTypesCapturedTypeWithRecursiveBounds.kt b/compiler/fir/analysis-tests/testData/resolve/inference/onlyInputTypesCapturedTypeWithRecursiveBounds.kt
new file mode 100644
index 00000000000..83fcab84804
--- /dev/null
+++ b/compiler/fir/analysis-tests/testData/resolve/inference/onlyInputTypesCapturedTypeWithRecursiveBounds.kt
@@ -0,0 +1,37 @@
+// FULL_JDK
+// WITH_STDLIB
+import java.util.EnumMap
+
+interface I
+
+enum class MyEnum : I {
+    EnumEntry
+}
+
+open class Foo<P>(val data: Map<P, Any?>) where P : Enum<P>, P : I
+
+private fun test(node: Foo<*>) {
+    node.data.get(MyEnum.EnumEntry)
+}
+
+open class FooEnumMap<P>(val data: EnumMap<P, Any?>) where P : Enum<P>, P : I
+
+private fun test(node: FooEnumMap<*>) {
+    node.data.get(MyEnum.EnumEntry)
+}
+
+open class Foo2<P : I>(val data: Map<P, Any?>)
+
+private fun test(node: Foo2<*>) {
+    node.data.get(MyEnum.EnumEntry)
+}
+
+interface I2
+
+object C: I, I2
+
+open class Foo3<P>(val data: Map<P, Any?>) where P : I, P : I2
+
+fun test3(node: Foo3<*>) {
+    node.data.get(C)
+}
\ No newline at end of file
diff --git a/compiler/fir/analysis-tests/testData/resolve/smartcasts/problems/smartcastToStarProjectedSubclass.kt b/compiler/fir/analysis-tests/testData/resolve/smartcasts/problems/smartcastToStarProjectedSubclass.kt
index c011ed9dbcf..8a3537c5f19 100644
--- a/compiler/fir/analysis-tests/testData/resolve/smartcasts/problems/smartcastToStarProjectedSubclass.kt
+++ b/compiler/fir/analysis-tests/testData/resolve/smartcasts/problems/smartcastToStarProjectedSubclass.kt
@@ -15,7 +15,7 @@ public interface Option<T> {
 // FILE: test.kt
 fun test_1(option: Option<Pair<String, String>>?) {
     if (option is Option.Some<*>) {
-        val x = <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Pair<kotlin.String, kotlin.String>..kotlin.Pair<kotlin.String, kotlin.String>?!")!>option.get()<!>.first
+        val x = <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(*)!! & kotlin.Pair<kotlin.String, kotlin.String>..CapturedType(*)? & kotlin.Pair<kotlin.String, kotlin.String>?")!>option.get()<!>.first
         x.length
     }
 }
diff --git a/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirLightTreeDiagnosticsTestGenerated.java b/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirLightTreeDiagnosticsTestGenerated.java
index 468abb6492e..f6b87e11fc0 100644
--- a/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirLightTreeDiagnosticsTestGenerated.java
+++ b/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirLightTreeDiagnosticsTestGenerated.java
@@ -3525,6 +3525,12 @@ public class FirLightTreeDiagnosticsTestGenerated extends AbstractFirLightTreeDi
                 runTest("compiler/fir/analysis-tests/testData/resolve/inference/nullableIntegerLiteralType.kt");
             }
 
+            @Test
+            @TestMetadata("onlyInputTypesCapturedTypeWithRecursiveBounds.kt")
+            public void testOnlyInputTypesCapturedTypeWithRecursiveBounds() throws Exception {
+                runTest("compiler/fir/analysis-tests/testData/resolve/inference/onlyInputTypesCapturedTypeWithRecursiveBounds.kt");
+            }
+
             @Test
             @TestMetadata("overloadResolutionByLambdaArgumentType.kt")
             public void testOverloadResolutionByLambdaArgumentType() 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 cafbec25b47..d83603d20ba 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
@@ -17911,6 +17911,12 @@ public class FirLightTreeOldFrontendDiagnosticsTestGenerated extends AbstractFir
                     runTest("compiler/testData/diagnostics/tests/inference/capturedTypes/capturingFromArgumentOfFlexibleType.kt");
                 }
 
+                @Test
+                @TestMetadata("capturingOfDnn.kt")
+                public void testCapturingOfDnn() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/capturedTypes/capturingOfDnn.kt");
+                }
+
                 @Test
                 @TestMetadata("differentCapturedTypes.kt")
                 public void testDifferentCapturedTypes() throws Exception {
@@ -31456,6 +31462,12 @@ public class FirLightTreeOldFrontendDiagnosticsTestGenerated extends AbstractFir
                 runTest("compiler/testData/diagnostics/tests/sealed/DoubleInner.kt");
             }
 
+            @Test
+            @TestMetadata("ExhaustiveOnCaptured.kt")
+            public void testExhaustiveOnCaptured() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/sealed/ExhaustiveOnCaptured.kt");
+            }
+
             @Test
             @TestMetadata("ExhaustiveOnRoot.kt")
             public void testExhaustiveOnRoot() throws Exception {
diff --git a/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirPsiDiagnosticTestGenerated.java b/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirPsiDiagnosticTestGenerated.java
index e253cc12fe8..6bd0a51d173 100644
--- a/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirPsiDiagnosticTestGenerated.java
+++ b/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirPsiDiagnosticTestGenerated.java
@@ -3525,6 +3525,12 @@ public class FirPsiDiagnosticTestGenerated extends AbstractFirPsiDiagnosticTest
                 runTest("compiler/fir/analysis-tests/testData/resolve/inference/nullableIntegerLiteralType.kt");
             }
 
+            @Test
+            @TestMetadata("onlyInputTypesCapturedTypeWithRecursiveBounds.kt")
+            public void testOnlyInputTypesCapturedTypeWithRecursiveBounds() throws Exception {
+                runTest("compiler/fir/analysis-tests/testData/resolve/inference/onlyInputTypesCapturedTypeWithRecursiveBounds.kt");
+            }
+
             @Test
             @TestMetadata("overloadResolutionByLambdaArgumentType.kt")
             public void testOverloadResolutionByLambdaArgumentType() 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 7b785be8731..33b0521d099 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
@@ -17917,6 +17917,12 @@ public class FirPsiOldFrontendDiagnosticsTestGenerated extends AbstractFirPsiDia
                     runTest("compiler/testData/diagnostics/tests/inference/capturedTypes/capturingFromArgumentOfFlexibleType.kt");
                 }
 
+                @Test
+                @TestMetadata("capturingOfDnn.kt")
+                public void testCapturingOfDnn() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/capturedTypes/capturingOfDnn.kt");
+                }
+
                 @Test
                 @TestMetadata("differentCapturedTypes.kt")
                 public void testDifferentCapturedTypes() throws Exception {
@@ -31576,6 +31582,12 @@ public class FirPsiOldFrontendDiagnosticsTestGenerated extends AbstractFirPsiDia
                 runTest("compiler/testData/diagnostics/tests/sealed/DoubleInner.kt");
             }
 
+            @Test
+            @TestMetadata("ExhaustiveOnCaptured.kt")
+            public void testExhaustiveOnCaptured() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/sealed/ExhaustiveOnCaptured.kt");
+            }
+
             @Test
             @TestMetadata("ExhaustiveOnRoot.kt")
             public void testExhaustiveOnRoot() throws Exception {
diff --git a/compiler/fir/checkers/src/org/jetbrains/kotlin/fir/analysis/checkers/FirHelpers.kt b/compiler/fir/checkers/src/org/jetbrains/kotlin/fir/analysis/checkers/FirHelpers.kt
index 8b2abaebeb4..62744643015 100644
--- a/compiler/fir/checkers/src/org/jetbrains/kotlin/fir/analysis/checkers/FirHelpers.kt
+++ b/compiler/fir/checkers/src/org/jetbrains/kotlin/fir/analysis/checkers/FirHelpers.kt
@@ -46,6 +46,7 @@ import org.jetbrains.kotlin.psi.KtParameter.VAL_VAR_TOKEN_SET
 import org.jetbrains.kotlin.resolve.AnnotationTargetList
 import org.jetbrains.kotlin.resolve.AnnotationTargetLists
 import org.jetbrains.kotlin.types.AbstractTypeChecker
+import org.jetbrains.kotlin.types.TypeApproximatorConfiguration
 import org.jetbrains.kotlin.types.model.KotlinTypeMarker
 import org.jetbrains.kotlin.types.model.TypeCheckerProviderContext
 import org.jetbrains.kotlin.util.ImplementationStatus
@@ -816,6 +817,13 @@ fun ConeKotlinType.hasDiagnosticKind(kind: DiagnosticKind): Boolean {
     return this is ConeErrorType && (diagnostic as? ConeSimpleDiagnostic)?.kind == kind
 }
 
+fun ConeKotlinType.finalApproximationOrSelf(context: CheckerContext): ConeKotlinType {
+    return context.session.typeApproximator.approximateToSuperType(
+        this,
+        TypeApproximatorConfiguration.FinalApproximationAfterResolutionAndInference
+    ) ?: this
+}
+
 fun FirResolvedQualifier.isStandalone(
     context: CheckerContext,
 ): Boolean {
diff --git a/compiler/fir/checkers/src/org/jetbrains/kotlin/fir/analysis/checkers/expression/FirCastOperatorsChecker.kt b/compiler/fir/checkers/src/org/jetbrains/kotlin/fir/analysis/checkers/expression/FirCastOperatorsChecker.kt
index 0378b9c8302..fa6685da6ed 100644
--- a/compiler/fir/checkers/src/org/jetbrains/kotlin/fir/analysis/checkers/expression/FirCastOperatorsChecker.kt
+++ b/compiler/fir/checkers/src/org/jetbrains/kotlin/fir/analysis/checkers/expression/FirCastOperatorsChecker.kt
@@ -11,6 +11,7 @@ import org.jetbrains.kotlin.diagnostics.reportOn
 import org.jetbrains.kotlin.fir.analysis.checkers.CastingType
 import org.jetbrains.kotlin.fir.analysis.checkers.checkCasting
 import org.jetbrains.kotlin.fir.analysis.checkers.context.CheckerContext
+import org.jetbrains.kotlin.fir.analysis.checkers.finalApproximationOrSelf
 import org.jetbrains.kotlin.fir.analysis.checkers.isCastErased
 import org.jetbrains.kotlin.fir.analysis.diagnostics.FirErrors
 import org.jetbrains.kotlin.fir.expressions.FirOperation
@@ -24,9 +25,9 @@ object FirCastOperatorsChecker : FirTypeOperatorCallChecker() {
     override fun check(expression: FirTypeOperatorCall, context: CheckerContext, reporter: DiagnosticReporter) {
         val session = context.session
         val firstArgument = expression.argumentList.arguments[0]
-        val actualType = firstArgument.unwrapSmartcastExpression().resolvedType.fullyExpandedType(session)
+        val actualType = firstArgument.unwrapSmartcastExpression().resolvedType.fullyExpandedType(session).finalApproximationOrSelf(context)
         val conversionTypeRef = expression.conversionTypeRef
-        val targetType = conversionTypeRef.coneType.fullyExpandedType(session)
+        val targetType = conversionTypeRef.coneType.fullyExpandedType(session).finalApproximationOrSelf(context)
 
         if (expression.operation in FirOperation.TYPES && targetType is ConeDynamicType) {
             reporter.reportOn(conversionTypeRef.source, FirErrors.DYNAMIC_NOT_ALLOWED, context)
diff --git a/compiler/fir/checkers/src/org/jetbrains/kotlin/fir/analysis/checkers/expression/FirEqualityCompatibilityChecker.kt b/compiler/fir/checkers/src/org/jetbrains/kotlin/fir/analysis/checkers/expression/FirEqualityCompatibilityChecker.kt
index 6cf42530f5f..0c782c2c57f 100644
--- a/compiler/fir/checkers/src/org/jetbrains/kotlin/fir/analysis/checkers/expression/FirEqualityCompatibilityChecker.kt
+++ b/compiler/fir/checkers/src/org/jetbrains/kotlin/fir/analysis/checkers/expression/FirEqualityCompatibilityChecker.kt
@@ -14,6 +14,7 @@ import org.jetbrains.kotlin.diagnostics.reportOn
 import org.jetbrains.kotlin.fir.FirSession
 import org.jetbrains.kotlin.fir.collectUpperBounds
 import org.jetbrains.kotlin.fir.analysis.checkers.context.CheckerContext
+import org.jetbrains.kotlin.fir.analysis.checkers.finalApproximationOrSelf
 import org.jetbrains.kotlin.fir.analysis.diagnostics.FirErrors
 import org.jetbrains.kotlin.fir.declarations.utils.isEnumClass
 import org.jetbrains.kotlin.fir.declarations.utils.isFinal
@@ -383,7 +384,10 @@ private val FirExpression.mostOriginalTypeIfSmartCast: ConeKotlinType
 
 private fun FirExpression.toArgumentInfo(context: CheckerContext) =
     ArgumentInfo(
-        this, resolvedType, mostOriginalTypeIfSmartCast.fullyExpandedType(context.session), context.session,
+        this,
+        userType = resolvedType.finalApproximationOrSelf(context),
+        originalType = mostOriginalTypeIfSmartCast.fullyExpandedType(context.session).finalApproximationOrSelf(context),
+        context.session,
     )
 
 /**
diff --git a/compiler/fir/fir2ir/src/org/jetbrains/kotlin/fir/backend/PrimitiveComparison.kt b/compiler/fir/fir2ir/src/org/jetbrains/kotlin/fir/backend/PrimitiveComparison.kt
index 3aa00e13379..c898149cd77 100644
--- a/compiler/fir/fir2ir/src/org/jetbrains/kotlin/fir/backend/PrimitiveComparison.kt
+++ b/compiler/fir/fir2ir/src/org/jetbrains/kotlin/fir/backend/PrimitiveComparison.kt
@@ -24,9 +24,11 @@ val FirComparisonExpression.left: FirExpression
 val FirComparisonExpression.right: FirExpression
     get() = compareToCall.arguments.getOrNull(0) ?: error("There should be a first arg for ${compareToCall.render()}")
 
+context(Fir2IrComponents)
 fun FirComparisonExpression.inferPrimitiveNumericComparisonInfo(): PrimitiveConeNumericComparisonInfo? =
     inferPrimitiveNumericComparisonInfo(left, right)
 
+context(Fir2IrComponents)
 fun inferPrimitiveNumericComparisonInfo(left: FirExpression, right: FirExpression): PrimitiveConeNumericComparisonInfo? {
     val leftType = left.resolvedType
     val rightType = right.resolvedType
@@ -57,6 +59,7 @@ private fun ConeClassLikeType.promoteIntegerTypeToIntIfRequired(): ConeClassLike
         else -> error("Primitive number type expected: $this")
     }
 
+context(Fir2IrComponents)
 private fun ConeKotlinType.getPrimitiveTypeOrSupertype(): ConeClassLikeType? =
     when {
         this is ConeTypeParameterType ->
@@ -67,6 +70,8 @@ private fun ConeKotlinType.getPrimitiveTypeOrSupertype(): ConeClassLikeType? =
             this
         this is ConeFlexibleType ->
             this.lowerBound.getPrimitiveTypeOrSupertype()
+        this is ConeCapturedType ->
+            this.approximateForIrOrSelf().getPrimitiveTypeOrSupertype()
         else ->
             null
     }
diff --git a/compiler/fir/providers/src/org/jetbrains/kotlin/fir/types/ConeInferenceContext.kt b/compiler/fir/providers/src/org/jetbrains/kotlin/fir/types/ConeInferenceContext.kt
index 33b4d98c7ae..52a7b21db90 100644
--- a/compiler/fir/providers/src/org/jetbrains/kotlin/fir/types/ConeInferenceContext.kt
+++ b/compiler/fir/providers/src/org/jetbrains/kotlin/fir/types/ConeInferenceContext.kt
@@ -343,6 +343,13 @@ interface ConeInferenceContext : TypeSystemInferenceExtensionContext, ConeTypeCo
         return isProjectionNotNull
     }
 
+    override fun CapturedTypeMarker.hasRawSuperType(): Boolean {
+        require(this is ConeCapturedType)
+        return constructor.supertypes?.any { superType ->
+            superType.contains { it is ConeKotlinType && it.isRaw() }
+        } == true
+    }
+
     override fun DefinitelyNotNullTypeMarker.original(): SimpleTypeMarker {
         require(this is ConeDefinitelyNotNullType)
         return this.original
diff --git a/compiler/fir/providers/src/org/jetbrains/kotlin/fir/types/TypeUtils.kt b/compiler/fir/providers/src/org/jetbrains/kotlin/fir/types/TypeUtils.kt
index f145dc613d9..a9f3ee5bbf7 100644
--- a/compiler/fir/providers/src/org/jetbrains/kotlin/fir/types/TypeUtils.kt
+++ b/compiler/fir/providers/src/org/jetbrains/kotlin/fir/types/TypeUtils.kt
@@ -425,8 +425,26 @@ fun ConeTypeContext.captureArguments(type: ConeKotlinType, status: CaptureStatus
         }
 
         require(newArgument is ConeCapturedType)
-        @Suppress("UNCHECKED_CAST")
-        newArgument.constructor.supertypes = upperBounds as List<ConeKotlinType>
+
+        newArgument.constructor.supertypes = if (status == CaptureStatus.FROM_EXPRESSION) {
+            // By intersecting the bounds and the projection type, we eliminate "redundant" super types.
+            // Redundant is defined by the implementation of the type intersector,
+            // e.g., at the moment of writing the intersection of Foo<String!> and Foo<String> was Foo<String>.
+            // Note, it's not just an optimization, but actually influences behavior because the nullability can change like in the
+            // example above.
+            // We only run it for status == CaptureStatus.FROM_EXPRESSION to prevent infinite loops with recursive types because
+            // during intersection AbstractTypeChecker is called which in turn can capture super types with status
+            // CaptureStatus.FOR_SUBTYPING.
+            val intersectedUpperBounds = intersectTypes(upperBounds)
+            if (intersectedUpperBounds is ConeIntersectionType) {
+                intersectedUpperBounds.intersectedTypes.toList()
+            } else {
+                listOf(intersectedUpperBounds)
+            }
+        } else {
+            @Suppress("UNCHECKED_CAST")
+            upperBounds as List<ConeKotlinType>
+        }
     }
     return newArguments
 }
diff --git a/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/inference/ConstraintSystemCompleter.kt b/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/inference/ConstraintSystemCompleter.kt
index 9802589f9c4..b344c99ed1e 100644
--- a/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/inference/ConstraintSystemCompleter.kt
+++ b/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/inference/ConstraintSystemCompleter.kt
@@ -416,8 +416,21 @@ class ConstraintSystemCompleter(components: BodyResolveComponents, private val c
             variableWithConstraints,
             TypeVariableDirectionCalculator.ResolveDirection.UNKNOWN
         )
+
+        val resultTypeForOnlyInputTypes =
+            if (with(ConeConstraintSystemUtilContext) { variableWithConstraints.typeVariable.hasOnlyInputTypesAttribute() }) {
+                inferenceComponents.resultTypeResolver.findResultType(
+                    c,
+                    variableWithConstraints,
+                    TypeVariableDirectionCalculator.ResolveDirection.UNKNOWN,
+                    isForOnlyInputTypes = true
+                )
+            } else {
+                resultType
+            }
+
         val variable = variableWithConstraints.typeVariable
-        c.fixVariable(variable, resultType, ConeFixVariableConstraintPosition(variable))
+        c.fixVariable(variable, resultType, ConeFixVariableConstraintPosition(variable), resultTypeForOnlyInputTypes)
     }
 
     companion object {
diff --git a/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/inference/FirCallCompleter.kt b/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/inference/FirCallCompleter.kt
index 7bfff364605..a731b8a0ce4 100644
--- a/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/inference/FirCallCompleter.kt
+++ b/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/inference/FirCallCompleter.kt
@@ -389,7 +389,7 @@ class FirCallCompleter(
         }
 
         return session.typeApproximator.approximateToSuperType(
-            this, TypeApproximatorConfiguration.FinalApproximationAfterResolutionAndInference
+            this, TypeApproximatorConfiguration.IntermediateApproximationToSupertypeAfterCompletionInK2
         ) ?: this
     }
 
diff --git a/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/transformers/FirCallCompletionResultsWriterTransformer.kt b/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/transformers/FirCallCompletionResultsWriterTransformer.kt
index 8b2c90976f8..fabbe419ac9 100644
--- a/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/transformers/FirCallCompletionResultsWriterTransformer.kt
+++ b/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/transformers/FirCallCompletionResultsWriterTransformer.kt
@@ -495,7 +495,8 @@ class FirCallCompletionResultsWriterTransformer(
         val initialType = candidate.substitutor.substituteOrSelf(type)
         val substitutedType = finallySubstituteOrNull(initialType)
         val finalType = typeApproximator.approximateToSuperType(
-            type = substitutedType ?: initialType, TypeApproximatorConfiguration.FinalApproximationAfterResolutionAndInference,
+            type = substitutedType ?: initialType,
+            TypeApproximatorConfiguration.IntermediateApproximationToSupertypeAfterCompletionInK2,
         ) ?: substitutedType
 
         // This is probably a temporary hack, but it seems necessary because elvis has that attribute and it may leak further like
@@ -968,7 +969,7 @@ class FirCallCompletionResultsWriterTransformer(
         arrayLiteral.transformChildren(this, expectedArrayElementType?.toExpectedType())
         val arrayElementType =
             session.typeContext.commonSuperTypeOrNull(arrayLiteral.arguments.map { it.resolvedType })?.let {
-                typeApproximator.approximateToSuperType(it, TypeApproximatorConfiguration.FinalApproximationAfterResolutionAndInference)
+                typeApproximator.approximateToSuperType(it, TypeApproximatorConfiguration.IntermediateApproximationToSupertypeAfterCompletionInK2)
                     ?: it
             } ?: expectedArrayElementType ?: session.builtinTypes.nullableAnyType.type
         arrayLiteral.resultType =
diff --git a/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/transformers/FirWhenExhaustivenessTransformer.kt b/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/transformers/FirWhenExhaustivenessTransformer.kt
index 3fb6e8bb149..43b3704aaae 100644
--- a/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/transformers/FirWhenExhaustivenessTransformer.kt
+++ b/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/transformers/FirWhenExhaustivenessTransformer.kt
@@ -33,6 +33,7 @@ import org.jetbrains.kotlin.fir.types.*
 import org.jetbrains.kotlin.fir.visitors.FirTransformer
 import org.jetbrains.kotlin.fir.visitors.FirVisitor
 import org.jetbrains.kotlin.name.StandardClassIds
+import org.jetbrains.kotlin.types.TypeApproximatorConfiguration
 
 class FirWhenExhaustivenessTransformer(private val bodyResolveComponents: BodyResolveComponents) : FirTransformer<Any?>() {
     companion object {
@@ -119,7 +120,9 @@ class FirWhenExhaustivenessTransformer(private val bodyResolveComponents: BodyRe
         }
 
         val session = bodyResolveComponents.session
-        val subjectType = getSubjectType(session, whenExpression) ?: run {
+        val subjectType = getSubjectType(session, whenExpression)?.let {
+            session.typeApproximator.approximateToSuperType(it, TypeApproximatorConfiguration.FinalApproximationAfterResolutionAndInference) ?: it
+        } ?: run {
             whenExpression.replaceExhaustivenessStatus(ExhaustivenessStatus.NotExhaustive.NO_ELSE_BRANCH)
             return
         }
diff --git a/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/transformers/body/resolve/FirExpressionsResolveTransformer.kt b/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/transformers/body/resolve/FirExpressionsResolveTransformer.kt
index d2f2622ae34..dd10bdfae75 100644
--- a/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/transformers/body/resolve/FirExpressionsResolveTransformer.kt
+++ b/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/transformers/body/resolve/FirExpressionsResolveTransformer.kt
@@ -1717,7 +1717,7 @@ open class FirExpressionsResolveTransformer(transformer: FirAbstractBodyResolveT
             )
         } else {
             session.typeApproximator.approximateToSuperType(
-                typeFromCallee.type, TypeApproximatorConfiguration.FinalApproximationAfterResolutionAndInference
+                typeFromCallee.type, TypeApproximatorConfiguration.IntermediateApproximationToSupertypeAfterCompletionInK2
             )
         } ?: typeFromCallee.type
     }
diff --git a/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/transformers/body/resolve/bareTypes.kt b/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/transformers/body/resolve/bareTypes.kt
index 8f7f351b606..e0f2b20d2e7 100644
--- a/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/transformers/body/resolve/bareTypes.kt
+++ b/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/transformers/body/resolve/bareTypes.kt
@@ -18,6 +18,7 @@ import org.jetbrains.kotlin.fir.symbols.impl.FirTypeParameterSymbol
 import org.jetbrains.kotlin.fir.symbols.lazyResolveToPhase
 import org.jetbrains.kotlin.fir.types.*
 import org.jetbrains.kotlin.types.AbstractTypeChecker
+import org.jetbrains.kotlin.types.TypeApproximatorConfiguration
 
 fun BodyResolveComponents.computeRepresentativeTypeForBareType(type: ConeClassLikeType, originalType: ConeKotlinType): ConeKotlinType? {
     originalType.lowerBoundIfFlexible().fullyExpandedType(session).let {
@@ -30,6 +31,13 @@ fun BodyResolveComponents.computeRepresentativeTypeForBareType(type: ConeClassLi
         return candidatesFromIntersectedTypes.firstOrNull()
     }
 
+    session.typeApproximator.approximateToSuperType(
+        originalType,
+        TypeApproximatorConfiguration.FinalApproximationAfterResolutionAndInference
+    )?.let {
+        return computeRepresentativeTypeForBareType(type, it)
+    }
+
     val originalClassLookupTag = (originalType as? ConeClassLikeType)?.fullyExpandedType(session)?.lookupTag ?: return null
 
     val castTypeAlias = type.lookupTag.toSymbol(session)?.fir as? FirTypeAlias
diff --git a/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/components/ConstraintSystemCompletionContext.kt b/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/components/ConstraintSystemCompletionContext.kt
index 9adfaff6926..605eba48e14 100644
--- a/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/components/ConstraintSystemCompletionContext.kt
+++ b/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/components/ConstraintSystemCompletionContext.kt
@@ -32,7 +32,12 @@ abstract class ConstraintSystemCompletionContext : VariableFixationFinder.Contex
     // mutable operations
     abstract fun addError(error: ConstraintSystemError)
 
-    abstract fun fixVariable(variable: TypeVariableMarker, resultType: KotlinTypeMarker, position: FixVariableConstraintPosition<*>)
+    abstract fun fixVariable(
+        variable: TypeVariableMarker,
+        resultType: KotlinTypeMarker,
+        position: FixVariableConstraintPosition<*>,
+        resultTypeForOnlyInputTypes: KotlinTypeMarker = resultType
+    )
 
     abstract fun couldBeResolvedWithUnrestrictedBuilderInference(): Boolean
     abstract fun resolveForkPointsConstraints()
diff --git a/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/components/ResultTypeResolver.kt b/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/components/ResultTypeResolver.kt
index ebef7dc5969..8780ff9f3cc 100644
--- a/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/components/ResultTypeResolver.kt
+++ b/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/components/ResultTypeResolver.kt
@@ -58,8 +58,8 @@ class ResultTypeResolver(
         return if (direction == ResolveDirection.TO_SUBTYPE) nothingType() else nullableAnyType()
     }
 
-    fun findResultType(c: Context, variableWithConstraints: VariableWithConstraints, direction: ResolveDirection): KotlinTypeMarker {
-        findResultTypeOrNull(c, variableWithConstraints, direction)?.let { return it }
+    fun findResultType(c: Context, variableWithConstraints: VariableWithConstraints, direction: ResolveDirection, isForOnlyInputTypes: Boolean = false): KotlinTypeMarker {
+        findResultTypeOrNull(c, variableWithConstraints, direction, isForOnlyInputTypes)?.let { return it }
 
         // no proper constraints
         return c.getDefaultType(direction, variableWithConstraints.constraints, variableWithConstraints.typeVariable)
@@ -68,7 +68,8 @@ class ResultTypeResolver(
     fun findResultTypeOrNull(
         c: Context,
         variableWithConstraints: VariableWithConstraints,
-        direction: ResolveDirection
+        direction: ResolveDirection,
+        isForOnlyInputTypes: Boolean = false,
     ): KotlinTypeMarker? {
         val resultTypeFromEqualConstraint = findResultIfThereIsEqualsConstraint(c, variableWithConstraints)
         if (resultTypeFromEqualConstraint != null) {
@@ -83,7 +84,7 @@ class ResultTypeResolver(
             }
         }
 
-        val subType = c.findSubType(variableWithConstraints)
+        val subType = c.findSubType(variableWithConstraints, isForOnlyInputTypes)
         // Super type should be the most flexible, sub type should be the least one
         val superType = c.findSuperType(variableWithConstraints).makeFlexibleIfNecessary(c, variableWithConstraints.constraints)
 
@@ -208,8 +209,8 @@ class ResultTypeResolver(
         return constraints.singleOrNull { it.kind.isLower() }?.isNullabilityConstraint ?: false
     }
 
-    private fun Context.findSubType(variableWithConstraints: VariableWithConstraints): KotlinTypeMarker? {
-        val lowerConstraintTypes = prepareLowerConstraints(variableWithConstraints.constraints)
+    private fun Context.findSubType(variableWithConstraints: VariableWithConstraints, isForOnlyInputTypes: Boolean): KotlinTypeMarker? {
+        val lowerConstraintTypes = prepareLowerConstraints(variableWithConstraints.constraints, isForOnlyInputTypes)
 
         if (lowerConstraintTypes.isNotEmpty()) {
             val types = sinkIntegerLiteralTypes(lowerConstraintTypes)
@@ -259,7 +260,7 @@ class ResultTypeResolver(
     private fun Context.computeCommonSuperType(types: List<KotlinTypeMarker>): KotlinTypeMarker =
         with(NewCommonSuperTypeCalculator) { commonSuperType(types) }
 
-    private fun Context.prepareLowerConstraints(constraints: List<Constraint>): List<KotlinTypeMarker> {
+    private fun Context.prepareLowerConstraints(constraints: List<Constraint>, isForOnlyInputTypes: Boolean): List<KotlinTypeMarker> {
         var atLeastOneProper = false
         var atLeastOneNonProper = false
 
@@ -268,7 +269,15 @@ class ResultTypeResolver(
         for (constraint in constraints) {
             if (constraint.kind != ConstraintKind.LOWER) continue
 
-            val type = constraint.type
+            var type = constraint.type
+
+            // The call to commonSuperTypes will replace arguments that have recursive supertypes with star projections,
+            // which will lead to a different resulting type than approximating it first.
+            // This breaks the @OnlyInputTypes check for captured types with recursive super types.
+            if (isForOnlyInputTypes && isK2 && hasRecursiveTypeParametersWithGivenSelfType(type.typeConstructor())) {
+                type = typeApproximator.approximateToSuperType(type, TypeApproximatorConfiguration.InternalTypesApproximation) ?: type
+            }
+
             lowerConstraintTypes.add(type)
 
             if (isProperTypeForFixation(type)) {
diff --git a/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/model/NewConstraintSystemImpl.kt b/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/model/NewConstraintSystemImpl.kt
index a8b8e83f8f8..a27f9c56136 100644
--- a/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/model/NewConstraintSystemImpl.kt
+++ b/compiler/resolution.common/src/org/jetbrains/kotlin/resolve/calls/inference/model/NewConstraintSystemImpl.kt
@@ -567,6 +567,7 @@ class NewConstraintSystemImpl(
         variable: TypeVariableMarker,
         resultType: KotlinTypeMarker,
         position: FixVariableConstraintPosition<*>,
+        resultTypeForOnlyInputTypes: KotlinTypeMarker,
     ) = with(utilContext) {
         checkState(State.BUILDING, State.COMPLETION)
 
@@ -593,7 +594,7 @@ class NewConstraintSystemImpl(
         // Substitute freshly fixed type variable into missed constraints
         substituteMissedConstraints()
 
-        postponeOnlyInputTypesCheck(variableWithConstraints, resultType)
+        postponeOnlyInputTypesCheck(variableWithConstraints, resultTypeForOnlyInputTypes)
 
         doPostponedComputationsIfAllVariablesAreFixed()
     }
diff --git a/compiler/resolution.common/src/org/jetbrains/kotlin/types/TypeApproximatorConfiguration.kt b/compiler/resolution.common/src/org/jetbrains/kotlin/types/TypeApproximatorConfiguration.kt
index 8bea6625a4c..a7961edf068 100644
--- a/compiler/resolution.common/src/org/jetbrains/kotlin/types/TypeApproximatorConfiguration.kt
+++ b/compiler/resolution.common/src/org/jetbrains/kotlin/types/TypeApproximatorConfiguration.kt
@@ -113,6 +113,24 @@ open class TypeApproximatorConfiguration {
         override val convertToNonRawVersionAfterApproximationInK2: Boolean get() = true
     }
 
+    object IntermediateApproximationToSupertypeAfterCompletionInK2 :
+        AbstractCapturedTypesApproximation(null) {
+        override val integerLiteralConstantType: Boolean get() = true
+        override val integerConstantOperatorType: Boolean get() = true
+        override val intersectionTypesInContravariantPositions: Boolean get() = true
+
+        override val convertToNonRawVersionAfterApproximationInK2: Boolean get() = true
+
+        override fun capturedType(ctx: TypeSystemInferenceExtensionContext, type: CapturedTypeMarker): Boolean {
+            /**
+             * Only approximate captured types when they contain a raw supertype.
+             * This is an awful hack required to keep K1 compatibility.
+             * See [convertToNonRawVersionAfterApproximationInK2].
+             */
+            return type.captureStatus(ctx) == CaptureStatus.FROM_EXPRESSION && with(ctx) { type.hasRawSuperType() }
+        }
+    }
+
     object TypeArgumentApproximation : AbstractCapturedTypesApproximation(null) {
         override val integerLiteralConstantType: Boolean get() = true
         override val integerConstantOperatorType: Boolean get() = true
diff --git a/compiler/testData/codegen/box/builderInference/issues/kt52838b.kt b/compiler/testData/codegen/box/builderInference/issues/kt52838b.kt
index 6479d58fe01..d447b632290 100644
--- a/compiler/testData/codegen/box/builderInference/issues/kt52838b.kt
+++ b/compiler/testData/codegen/box/builderInference/issues/kt52838b.kt
@@ -2,9 +2,6 @@
 // ISSUE: KT-52838
 
 // IGNORE_LIGHT_ANALYSIS
-// IGNORE_BACKEND_K2: WASM
-// REASON: That still doesn't work properly with PCLA, but accidentally don't fails for other tests but WASM
-// (see KT-52838 for tracking and same-named diagnostic test)
 
 fun box(): String {
     build {
diff --git a/compiler/testData/codegen/box/builderInference/issues/kt52838c.kt b/compiler/testData/codegen/box/builderInference/issues/kt52838c.kt
index ce28e2eb47c..56f6d05049e 100644
--- a/compiler/testData/codegen/box/builderInference/issues/kt52838c.kt
+++ b/compiler/testData/codegen/box/builderInference/issues/kt52838c.kt
@@ -1,10 +1,6 @@
 // ISSUE: KT-52838
 // JVM_ABI_K1_K2_DIFF: KT-64738
 
-// IGNORE_BACKEND_K2: WASM
-// REASON: That still doesn't work properly with PCLA, but accidentally don't fails for other tests but WASM
-// (see KT-52838 for tracking and same-named diagnostic test)
-
 fun box(): String {
     build {
         this as DerivedBuildee<*>
diff --git a/compiler/testData/codegen/box/sam/contravariantIntersectionType.jvm_abi.txt b/compiler/testData/codegen/box/sam/contravariantIntersectionType.jvm_abi.txt
index 40ebb888d72..8925ee1bf6c 100644
--- a/compiler/testData/codegen/box/sam/contravariantIntersectionType.jvm_abi.txt
+++ b/compiler/testData/codegen/box/sam/contravariantIntersectionType.jvm_abi.txt
@@ -1,3 +1,9 @@
 MODULE main
 	Missing in K2
 		TestKt$example$2.class
+	CLASS TestKt$example$1.class
+		Property: class.signature
+			K1
+				Lkotlin/jvm/internal/Lambda;Lkotlin/jvm/functions/Function1<*Lkotlin/Unit;>;
+			K2
+				NULL
diff --git a/compiler/testData/codegen/box/sam/kt11696.jvm_abi.txt b/compiler/testData/codegen/box/sam/kt11696.jvm_abi.txt
new file mode 100644
index 00000000000..353f81c516b
--- /dev/null
+++ b/compiler/testData/codegen/box/sam/kt11696.jvm_abi.txt
@@ -0,0 +1,33 @@
+MODULE main
+	Missing in K1
+		_1Kt$sam$Consumer$0.class
+	CLASS User$use$1.class
+		Property: class.signature
+			K1
+				<T:Ljava/lang/Object;>Ljava/lang/Object;LConsumer;
+			K2
+				NULL
+		Property: class.superClassInternalName
+			K1
+				java/lang/Object
+			K2
+				kotlin/jvm/internal/Lambda
+		Property: class.superInterfaces
+			K1
+				[Consumer]
+			K2
+				[kotlin/jvm/functions/Function1]
+		K1
+			consume(Ljava/lang/Object;)V [public, final]
+		K2
+			---
+		K1
+			---
+		K2
+			invoke(Ljava/lang/Object;)V [public, final]
+		FIELD INSTANCE:LUser$use$1;
+			Property: field.signature
+				K1
+					LUser$use$1<TT;>;
+				K2
+					NULL
diff --git a/compiler/testData/codegen/box/sam/kt11696.kt b/compiler/testData/codegen/box/sam/kt11696.kt
index d5527be4d4a..44a31f5d26b 100644
--- a/compiler/testData/codegen/box/sam/kt11696.kt
+++ b/compiler/testData/codegen/box/sam/kt11696.kt
@@ -3,6 +3,7 @@
 // SAM_CONVERSIONS: CLASS
 //   ^ test checks reflection for synthetic classes
 // MODULE: lib
+// JVM_ABI_K1_K2_DIFF: KT-64954
 // FILE: Promise.java
 import org.jetbrains.annotations.NotNull;
 
diff --git a/compiler/testData/codegen/box/vararg/kt52146_samWithSelfTypeAndStarProjection.jvm_abi.txt b/compiler/testData/codegen/box/vararg/kt52146_samWithSelfTypeAndStarProjection.jvm_abi.txt
new file mode 100644
index 00000000000..ee02b56f5b5
--- /dev/null
+++ b/compiler/testData/codegen/box/vararg/kt52146_samWithSelfTypeAndStarProjection.jvm_abi.txt
@@ -0,0 +1,3 @@
+MODULE main
+	Missing in K1
+		BoxKt$test$2.class
diff --git a/compiler/testData/codegen/box/vararg/kt52146_samWithSelfTypeAndStarProjection.kt b/compiler/testData/codegen/box/vararg/kt52146_samWithSelfTypeAndStarProjection.kt
index a9ee568485e..92ee9a7c2c1 100644
--- a/compiler/testData/codegen/box/vararg/kt52146_samWithSelfTypeAndStarProjection.kt
+++ b/compiler/testData/codegen/box/vararg/kt52146_samWithSelfTypeAndStarProjection.kt
@@ -1,6 +1,7 @@
 // TARGET_BACKEND: JVM
 // FULL_JDK
 // JVM_TARGET: 1.8
+// JVM_ABI_K1_K2_DIFF: KT-64954
 // FILE: J.java
 
 import java.util.function.*;
diff --git a/compiler/testData/diagnostics/tests/capturedTypesSubtyping.fir.kt b/compiler/testData/diagnostics/tests/capturedTypesSubtyping.fir.kt
index a76932177bb..b7b1654dd47 100644
--- a/compiler/testData/diagnostics/tests/capturedTypesSubtyping.fir.kt
+++ b/compiler/testData/diagnostics/tests/capturedTypesSubtyping.fir.kt
@@ -1,8 +1,8 @@
 // ISSUE: KT-62959
 
 fun bar(x: Inv<out CharSequence>) {
-    x.foo { <!ARGUMENT_TYPE_MISMATCH("CapturedType(out kotlin.CharSequence); kotlin.CharSequence")!>it<!> }
-    x.bar { <!ARGUMENT_TYPE_MISMATCH("CapturedType(out kotlin.CharSequence); kotlin.CharSequence"), TYPE_MISMATCH("CapturedType(out kotlin.CharSequence); CapturedType(out kotlin.CharSequence)")!>it.e()<!> }
+    x.foo { it }
+    x.bar { it.e() }
 }
 
 interface Inv<E> {
diff --git a/compiler/testData/diagnostics/tests/generics/approximationOfInProjection.fir.kt b/compiler/testData/diagnostics/tests/generics/approximationOfInProjection.fir.kt
index 50df2e7848f..9810e256f29 100644
--- a/compiler/testData/diagnostics/tests/generics/approximationOfInProjection.fir.kt
+++ b/compiler/testData/diagnostics/tests/generics/approximationOfInProjection.fir.kt
@@ -5,10 +5,10 @@ class Bound<T: Number>(val value: T)
 
 fun test_1() {
     val b: Bound<in Int> = Bound(1)
-    val vl: Number = <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Number")!>b.value<!>
+    val vl: Number = <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(in kotlin.Int)")!>b.value<!>
 }
 
 fun test_2() {
     val b: Bound<*> = Bound(1)
-    val vl: Number = <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Number")!>b.value<!>
+    val vl: Number = <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(*)")!>b.value<!>
 }
diff --git a/compiler/testData/diagnostics/tests/inference/capturedTypes/approximationLeavesNonTrivialLowerBound.fir.kt b/compiler/testData/diagnostics/tests/inference/capturedTypes/approximationLeavesNonTrivialLowerBound.fir.kt
new file mode 100644
index 00000000000..d29ef49b5e1
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/capturedTypes/approximationLeavesNonTrivialLowerBound.fir.kt
@@ -0,0 +1,18 @@
+interface Inv<T : CharSequence>
+
+fun <E : CharSequence> id(i: Inv<E>): Inv<E> = i
+
+fun foo1(x: Inv<in String>) {
+    val y = <!DEBUG_INFO_EXPRESSION_TYPE("Inv<CapturedType(in kotlin.String)>")!>id(x)<!> // Should return Inv<in String>
+    bar1(y)
+}
+
+fun bar1(i: Inv<in String>) {}
+
+fun foo2(x: Inv<in Nothing>) {
+    // Inv<out kotlin.CharSequence> is OK here, because it's still a subtype of Inv<in Nothing>
+    val y = <!DEBUG_INFO_EXPRESSION_TYPE("Inv<CapturedType(in kotlin.Nothing)>")!>id(x)<!>
+    bar2(y)
+}
+
+fun bar2(i: Inv<in Nothing>) {}
diff --git a/compiler/testData/diagnostics/tests/inference/capturedTypes/approximationLeavesNonTrivialLowerBound.kt b/compiler/testData/diagnostics/tests/inference/capturedTypes/approximationLeavesNonTrivialLowerBound.kt
index 0c053b04de9..51fd1a7d8c7 100644
--- a/compiler/testData/diagnostics/tests/inference/capturedTypes/approximationLeavesNonTrivialLowerBound.kt
+++ b/compiler/testData/diagnostics/tests/inference/capturedTypes/approximationLeavesNonTrivialLowerBound.kt
@@ -1,4 +1,3 @@
-// FIR_IDENTICAL
 interface Inv<T : CharSequence>
 
 fun <E : CharSequence> id(i: Inv<E>): Inv<E> = i
diff --git a/compiler/testData/diagnostics/tests/inference/capturedTypes/captureFromNullableTypeInScopeAny.fir.kt b/compiler/testData/diagnostics/tests/inference/capturedTypes/captureFromNullableTypeInScopeAny.fir.kt
new file mode 100644
index 00000000000..dac4e5d4ff8
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/capturedTypes/captureFromNullableTypeInScopeAny.fir.kt
@@ -0,0 +1,13 @@
+// ISSUE: KT-57958
+
+fun ListVM<*>.foo() {
+    val currentItem1: MutableProperty<out Any?> = <!DEBUG_INFO_EXPRESSION_TYPE("MutableProperty<CapturedType(*)?>")!>currentItem<!>
+}
+
+interface MutableProperty<T> {
+    var value: T
+}
+
+interface ListVM<TItemVM> {
+    val currentItem: MutableProperty<TItemVM?>
+}
diff --git a/compiler/testData/diagnostics/tests/inference/capturedTypes/captureFromNullableTypeInScopeAny.kt b/compiler/testData/diagnostics/tests/inference/capturedTypes/captureFromNullableTypeInScopeAny.kt
index 753166b9168..a8352a269b2 100644
--- a/compiler/testData/diagnostics/tests/inference/capturedTypes/captureFromNullableTypeInScopeAny.kt
+++ b/compiler/testData/diagnostics/tests/inference/capturedTypes/captureFromNullableTypeInScopeAny.kt
@@ -1,4 +1,3 @@
-// FIR_IDENTICAL
 // ISSUE: KT-57958
 
 fun ListVM<*>.foo() {
diff --git a/compiler/testData/diagnostics/tests/inference/capturedTypes/capturedTypesSubstitutionIntoAbbreviation.fir.kt b/compiler/testData/diagnostics/tests/inference/capturedTypes/capturedTypesSubstitutionIntoAbbreviation.fir.kt
index 80876c7b852..b767d21ee42 100644
--- a/compiler/testData/diagnostics/tests/inference/capturedTypes/capturedTypesSubstitutionIntoAbbreviation.fir.kt
+++ b/compiler/testData/diagnostics/tests/inference/capturedTypes/capturedTypesSubstitutionIntoAbbreviation.fir.kt
@@ -20,11 +20,11 @@ fun getTag7(): Tag7<*> = Tag7<Int> { }
 fun getTag8(): Tag8<*> = Tag8<Int> { 1 }
 
 fun main() {
-    <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Function1<kotlin.Nothing, kotlin.Unit>")!>getTag().action<!>
-    <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Function1<kotlin.Nothing, kotlin.Unit>")!>getTag2().action<!>
-    <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Function1<kotlin.Nothing, kotlin.Unit>")!>getTag3().action<!>
-    <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Function1<kotlin.Nothing, kotlin.Unit>")!>getTag4().action<!>
-    <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Function1<kotlin.Nothing, kotlin.Any?>")!>getTag5().action<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("Action<CapturedType(*)>")!>getTag().action<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("Action<in CapturedType(*)>")!>getTag2().action<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("Action<CapturedType(*)>")!>getTag3().action<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("Action<in CapturedType(*)>")!>getTag4().action<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("Action2<CapturedType(*)>")!>getTag5().action<!>
     <!DEBUG_INFO_EXPRESSION_TYPE("Action<in kotlin.Any?>")!>getTag6().action<!>
     <!DEBUG_INFO_EXPRESSION_TYPE("Action<kotlin.Any?>")!>getTag7().action<!>
     <!DEBUG_INFO_EXPRESSION_TYPE("Action2<kotlin.Any?>")!>getTag8().action<!>
diff --git a/compiler/testData/diagnostics/tests/inference/capturedTypes/capturingOfDnn.kt b/compiler/testData/diagnostics/tests/inference/capturedTypes/capturingOfDnn.kt
new file mode 100644
index 00000000000..eaa1a964870
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/capturedTypes/capturingOfDnn.kt
@@ -0,0 +1,16 @@
+// FIR_IDENTICAL
+
+// FILE: Inlay.java
+public interface Inlay<T extends EditorCustomElementRenderer> {
+    @org.jetbrains.annotations.NotNull T getRenderer();
+}
+
+// FILE: test.kt
+interface EditorCustomElementRenderer
+interface PresentationContainerRenderer<Constraints : Any> : EditorCustomElementRenderer
+
+fun test(inlay: Inlay<out PresentationContainerRenderer<*>>) {
+    inlay.renderer.addOrUpdate()
+}
+
+fun <T : Any> PresentationContainerRenderer<T>.addOrUpdate() {}
\ No newline at end of file
diff --git a/compiler/testData/diagnostics/tests/inference/capturedTypes/kt46727.fir.kt b/compiler/testData/diagnostics/tests/inference/capturedTypes/kt46727.fir.kt
index ac1c9d47ce0..9ee4e256d3f 100644
--- a/compiler/testData/diagnostics/tests/inference/capturedTypes/kt46727.fir.kt
+++ b/compiler/testData/diagnostics/tests/inference/capturedTypes/kt46727.fir.kt
@@ -44,7 +44,7 @@ public class Bar<T> {
 
 fun takeStarBar(x: Bar<*>) {
     x.value = <!ASSIGNMENT_TYPE_MISMATCH!>"test"<!>
-    x.value <!UNRESOLVED_REFERENCE!>+=<!> "test"
+    x.value <!NONE_APPLICABLE!>+=<!> "test"
 }
 
 fun main2() {
@@ -58,7 +58,7 @@ fun main2() {
 
 fun takeStarFoo2(x: Foo2<*>) {
     x.value = <!ASSIGNMENT_TYPE_MISMATCH!>"test"<!>
-    x.value <!UNRESOLVED_REFERENCE!>+=<!> "test"
+    x.value <!NONE_APPLICABLE!>+=<!> "test"
 }
 
 fun main3() {
@@ -75,7 +75,7 @@ public class Bar2<T> {
 
 fun takeStarBar2(x: Bar2<*>) {
     x.value = <!ASSIGNMENT_TYPE_MISMATCH!>"test"<!>
-    x.value <!UNRESOLVED_REFERENCE!>+=<!> "test"
+    x.value <!NONE_APPLICABLE!>+=<!> "test"
 }
 
 fun main4() {
@@ -89,7 +89,7 @@ fun main4() {
 
 fun takeStarFoo3(x: Foo3<*>) {
     x.value = <!ASSIGNMENT_TYPE_MISMATCH!>"test"<!>
-    x.value <!UNRESOLVED_REFERENCE!>+=<!> "test"
+    x.value <!NONE_APPLICABLE!>+=<!> "test"
 }
 
 fun main5() {
@@ -107,7 +107,7 @@ class Bar3<T> {
 
 fun takeStarBar3(x: Bar3<*>) {
     x.value = <!ASSIGNMENT_TYPE_MISMATCH!>"test"<!>
-    x.value <!UNRESOLVED_REFERENCE!>+=<!> "test"
+    x.value <!NONE_APPLICABLE!>+=<!> "test"
 }
 
 fun main6() {
diff --git a/compiler/testData/diagnostics/tests/inference/capturedTypes/kt46727Warnings.fir.kt b/compiler/testData/diagnostics/tests/inference/capturedTypes/kt46727Warnings.fir.kt
index b8c2d5ef661..9185cf80935 100644
--- a/compiler/testData/diagnostics/tests/inference/capturedTypes/kt46727Warnings.fir.kt
+++ b/compiler/testData/diagnostics/tests/inference/capturedTypes/kt46727Warnings.fir.kt
@@ -44,7 +44,7 @@ public class Bar<T> {
 
 fun takeStarBar(x: Bar<*>) {
     x.value = <!ASSIGNMENT_TYPE_MISMATCH!>"test"<!>
-    x.value <!UNRESOLVED_REFERENCE!>+=<!> "test"
+    x.value <!NONE_APPLICABLE!>+=<!> "test"
 }
 
 fun main2() {
@@ -58,7 +58,7 @@ fun main2() {
 
 fun takeStarFoo2(x: Foo2<*>) {
     x.value = <!ASSIGNMENT_TYPE_MISMATCH!>"test"<!>
-    x.value <!UNRESOLVED_REFERENCE!>+=<!> "test"
+    x.value <!NONE_APPLICABLE!>+=<!> "test"
 }
 
 fun main3() {
@@ -75,7 +75,7 @@ public class Bar2<T> {
 
 fun takeStarBar2(x: Bar2<*>) {
     x.value = <!ASSIGNMENT_TYPE_MISMATCH!>"test"<!>
-    x.value <!UNRESOLVED_REFERENCE!>+=<!> "test"
+    x.value <!NONE_APPLICABLE!>+=<!> "test"
 }
 
 fun main4() {
@@ -89,7 +89,7 @@ fun main4() {
 
 fun takeStarFoo3(x: Foo3<*>) {
     x.value = <!ASSIGNMENT_TYPE_MISMATCH!>"test"<!>
-    x.value <!UNRESOLVED_REFERENCE!>+=<!> "test"
+    x.value <!NONE_APPLICABLE!>+=<!> "test"
 }
 
 fun main5() {
@@ -107,7 +107,7 @@ class Bar3<T> {
 
 fun takeStarBar3(x: Bar3<*>) {
     x.value = <!ASSIGNMENT_TYPE_MISMATCH!>"test"<!>
-    x.value <!UNRESOLVED_REFERENCE!>+=<!> "test"
+    x.value <!NONE_APPLICABLE!>+=<!> "test"
 }
 
 fun main6() {
diff --git a/compiler/testData/diagnostics/tests/inference/capturedTypes/memberScopeOfCaptured.fir.kt b/compiler/testData/diagnostics/tests/inference/capturedTypes/memberScopeOfCaptured.fir.kt
new file mode 100644
index 00000000000..977e52e5eb0
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/capturedTypes/memberScopeOfCaptured.fir.kt
@@ -0,0 +1,13 @@
+// !CHECK_TYPE
+
+class A<T> {
+    fun foo(): T = null!!
+}
+
+fun <E> A<E>.bar(): A<in E> = this
+
+fun baz(x: A<out CharSequence>) {
+    x.bar() checkType { _<A<*>>() }
+    <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(in CapturedType(out kotlin.CharSequence))")!>x.bar().foo()<!> checkType { <!UNRESOLVED_REFERENCE_WRONG_RECEIVER!>_<!><Any?>() } // See KT-10448
+    <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(in CapturedType(out kotlin.CharSequence))")!>x.bar().foo()<!> checkType { _<CharSequence>() } // Inference change in K2
+}
\ No newline at end of file
diff --git a/compiler/testData/diagnostics/tests/inference/capturedTypes/memberScopeOfCaptured.kt b/compiler/testData/diagnostics/tests/inference/capturedTypes/memberScopeOfCaptured.kt
index 0e4e5cce82a..162ecf7401e 100644
--- a/compiler/testData/diagnostics/tests/inference/capturedTypes/memberScopeOfCaptured.kt
+++ b/compiler/testData/diagnostics/tests/inference/capturedTypes/memberScopeOfCaptured.kt
@@ -1,4 +1,3 @@
-// FIR_IDENTICAL
 // !CHECK_TYPE
 
 class A<T> {
@@ -9,5 +8,6 @@ fun <E> A<E>.bar(): A<in E> = this
 
 fun baz(x: A<out CharSequence>) {
     x.bar() checkType { _<A<*>>() }
-    x.bar().foo() checkType { _<Any?>() } // See KT-10448
+    <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Any?")!>x.bar().foo()<!> checkType { _<Any?>() } // See KT-10448
+    <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Any?")!>x.bar().foo()<!> checkType { <!UNRESOLVED_REFERENCE_WRONG_RECEIVER!>_<!><CharSequence>() } // Inference change in K2
 }
diff --git a/compiler/testData/diagnostics/tests/inference/recursiveTypes/selfTypes/enabledInferenceOnSelfTypes/writerAppenderExampleRecursive.fir.kt b/compiler/testData/diagnostics/tests/inference/recursiveTypes/selfTypes/enabledInferenceOnSelfTypes/writerAppenderExampleRecursive.fir.kt
index 069119355b0..11385017a5f 100644
--- a/compiler/testData/diagnostics/tests/inference/recursiveTypes/selfTypes/enabledInferenceOnSelfTypes/writerAppenderExampleRecursive.fir.kt
+++ b/compiler/testData/diagnostics/tests/inference/recursiveTypes/selfTypes/enabledInferenceOnSelfTypes/writerAppenderExampleRecursive.fir.kt
@@ -19,17 +19,17 @@ public class JavaWriterAppender {
 
 // FILE: main.kt
 fun test() {
-    <!DEBUG_INFO_EXPRESSION_TYPE("WriterAppender.Builder1<*>")!>WriterAppender.newBuilder()<!>
-    <!DEBUG_INFO_EXPRESSION_TYPE("WriterAppender.Builder1<out WriterAppender.Builder1<*>>")!>WriterAppender.Builder1()<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(*)")!>WriterAppender.newBuilder()<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("WriterAppender.Builder1<CapturedType(*)>")!>WriterAppender.Builder1()<!>
 
-    <!DEBUG_INFO_EXPRESSION_TYPE("WriterAppender.Builder1<*> & WriterAppender.Builder2<*>")!>WriterAppender.intersectTwoSelfTypes()<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(*)")!>WriterAppender.intersectTwoSelfTypes()<!>
 }
 
 fun testJava(appender: JavaWriterAppender) {
-    <!DEBUG_INFO_EXPRESSION_TYPE("JavaWriterAppender.Builder1<*>..JavaWriterAppender.Builder1<*>?!")!>appender.newBuilder()<!>
-    <!DEBUG_INFO_EXPRESSION_TYPE("JavaWriterAppender.Builder1<out JavaWriterAppender.Builder1<*>..JavaWriterAppender.Builder1<*>?!>")!>appender.Builder1()<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(*)!!..CapturedType(*)?!")!>appender.newBuilder()<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("JavaWriterAppender.Builder1<CapturedType(*)>")!>appender.Builder1()<!>
 
-    <!DEBUG_INFO_EXPRESSION_TYPE("JavaWriterAppender.Builder1<*> & JavaWriterAppender.Builder2<*>..JavaWriterAppender.Builder1<*>? & JavaWriterAppender.Builder2<*>?")!>appender.intersectTwoSelfTypes()<!>
+    <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(*)!!..CapturedType(*)?!")!>appender.intersectTwoSelfTypes()<!>
 }
 
 object WriterAppender {
diff --git a/compiler/testData/diagnostics/tests/inline/returnedAnonymousObjects_2.fir.kt b/compiler/testData/diagnostics/tests/inline/returnedAnonymousObjects_2.fir.kt
index b3a75c8701f..88f7b84c6f0 100644
--- a/compiler/testData/diagnostics/tests/inline/returnedAnonymousObjects_2.fir.kt
+++ b/compiler/testData/diagnostics/tests/inline/returnedAnonymousObjects_2.fir.kt
@@ -65,17 +65,17 @@ fun test10(b: Boolean) {
 }
 
 fun test11(b: Boolean) {
-    var x = <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Any")!>foo11 { 1 }.value<!>
+    var x = <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(out kotlin.Any)")!>foo11 { 1 }.value<!>
     if (b) {
-        x = <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Any")!>foo11 { 2 }.value<!>
+        x = <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(out kotlin.Any)")!>foo11 { 2 }.value<!>
     }
     x.<!UNRESOLVED_REFERENCE!>bar<!>()
 }
 
 fun test12(b: Boolean) {
-    var x = <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Any")!>foo12 { 1 }.value.value<!>
+    var x = <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(out kotlin.Any)")!>foo12 { 1 }.value.value<!>
     if (b) {
-        x = <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Any")!>foo12 { 2 }.value.value<!>
+        x = <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(out kotlin.Any)")!>foo12 { 2 }.value.value<!>
     }
     x.<!UNRESOLVED_REFERENCE!>bar<!>()
 }
@@ -91,17 +91,17 @@ fun test20(b: Boolean) {
 }
 
 fun test21(b: Boolean) {
-    var x = <!DEBUG_INFO_EXPRESSION_TYPE("I1")!>foo21 { 1 }.value<!>
+    var x = <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(out I1)")!>foo21 { 1 }.value<!>
     if (b) {
-        x = <!DEBUG_INFO_EXPRESSION_TYPE("I1")!>foo21 { 2 }.value<!>
+        x = <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(out I1)")!>foo21 { 2 }.value<!>
     }
     x.<!UNRESOLVED_REFERENCE!>bar<!>()
 }
 
 fun test22(b: Boolean) {
-    var x = <!DEBUG_INFO_EXPRESSION_TYPE("I1")!>foo22 { 1 }.value.value<!>
+    var x = <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(out I1)")!>foo22 { 1 }.value.value<!>
     if (b) {
-        x = <!DEBUG_INFO_EXPRESSION_TYPE("I1")!>foo22 { 2 }.value.value<!>
+        x = <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(out I1)")!>foo22 { 2 }.value.value<!>
     }
     x.<!UNRESOLVED_REFERENCE!>bar<!>()
 }
@@ -117,17 +117,17 @@ fun test30(b: Boolean) {
 }
 
 fun test31(b: Boolean) {
-    var x = <!DEBUG_INFO_EXPRESSION_TYPE("I1")!>foo31 { 1 }.value<!>
+    var x = <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(out I1)")!>foo31 { 1 }.value<!>
     if (b) {
-        x = <!DEBUG_INFO_EXPRESSION_TYPE("I1")!>foo31 { 2 }.value<!>
+        x = <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(out I1)")!>foo31 { 2 }.value<!>
     }
     x.<!UNRESOLVED_REFERENCE!>bar<!>()
 }
 
 fun test32(b: Boolean) {
-    var x = <!DEBUG_INFO_EXPRESSION_TYPE("I1")!>foo32 { 1 }.value.value<!>
+    var x = <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(out I1)")!>foo32 { 1 }.value.value<!>
     if (b) {
-        x = <!DEBUG_INFO_EXPRESSION_TYPE("I1")!>foo32 { 2 }.value.value<!>
+        x = <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(out I1)")!>foo32 { 2 }.value.value<!>
     }
     x.<!UNRESOLVED_REFERENCE!>bar<!>()
 }
diff --git a/compiler/testData/diagnostics/tests/sealed/ExhaustiveOnCaptured.kt b/compiler/testData/diagnostics/tests/sealed/ExhaustiveOnCaptured.kt
new file mode 100644
index 00000000000..318a55d60a5
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/sealed/ExhaustiveOnCaptured.kt
@@ -0,0 +1,18 @@
+// FIR_IDENTICAL
+
+abstract class FirBasedSymbol<E : FirDeclaration> {
+    val fir: E get() = null!!
+}
+abstract class FirCallableSymbol<D : FirCallableDeclaration> : FirBasedSymbol<D>()
+
+sealed class FirDeclaration
+sealed class FirCallableDeclaration : FirDeclaration()
+
+class FirFunction : FirCallableDeclaration()
+class FirVariable : FirCallableDeclaration()
+
+val FirCallableSymbol<*>.isExtension: Boolean
+    get() = when (fir) {
+        is FirFunction -> true
+        is FirVariable -> false
+    }
\ No newline at end of file
diff --git a/compiler/testData/diagnostics/tests/typealias/typeAliasConstructorCrazyProjections.fir.kt b/compiler/testData/diagnostics/tests/typealias/typeAliasConstructorCrazyProjections.fir.kt
index 1556957f654..da2ceb15576 100644
--- a/compiler/testData/diagnostics/tests/typealias/typeAliasConstructorCrazyProjections.fir.kt
+++ b/compiler/testData/diagnostics/tests/typealias/typeAliasConstructorCrazyProjections.fir.kt
@@ -10,6 +10,6 @@ fun <T> listOf(): List<T> = null!!
 // Unresolved reference is ok here:
 // we can't create a substituted signature for type alias constructor
 // since it has 'out' type projection in 'in' position.
-val test1 = BOutIn(<!ARGUMENT_TYPE_MISMATCH!>listOf()<!>, null!!)
+val test1 = <!UPPER_BOUND_VIOLATED!>BOutIn(<!ARGUMENT_TYPE_MISMATCH!>listOf()<!>, null!!)<!>
 
-val test2 = BInIn(listOf(), null!!)
+val test2 = <!UPPER_BOUND_VIOLATED!>BInIn(listOf(), null!!)<!>
diff --git a/compiler/testData/ir/irText/expressions/sam/genericSamProjectedOut.fir.ir.txt b/compiler/testData/ir/irText/expressions/sam/genericSamProjectedOut.fir.ir.txt
index 9e0e86afbca..5ecc2a5263d 100644
--- a/compiler/testData/ir/irText/expressions/sam/genericSamProjectedOut.fir.ir.txt
+++ b/compiler/testData/ir/irText/expressions/sam/genericSamProjectedOut.fir.ir.txt
@@ -7,7 +7,7 @@ FILE fqName:<root> fileName:/genericSamProjectedOut.kt
       CALL 'public open fun someFunction (hello: @[FlexibleNullability] example.Hello<@[FlexibleNullability] A of example.SomeJavaClass?>?): kotlin.Unit declared in example.SomeJavaClass' type=kotlin.Unit origin=null
         $this: GET_VAR 'var a: example.SomeJavaClass<out kotlin.String> declared in <root>.test' type=example.SomeJavaClass<out kotlin.String> origin=null
         hello: TYPE_OP type=example.Hello<out @[FlexibleNullability] kotlin.String?> origin=SAM_CONVERSION typeOperand=example.Hello<out @[FlexibleNullability] kotlin.String?>
-          FUN_EXPR type=kotlin.Function1<@[FlexibleNullability] kotlin.String?, kotlin.Unit> origin=LAMBDA
+          FUN_EXPR type=kotlin.Function1<@[FlexibleNullability] kotlin.Nothing?, kotlin.Unit> origin=LAMBDA
             FUN LOCAL_FUNCTION_FOR_LAMBDA name:<anonymous> visibility:local modality:FINAL <> (it:@[FlexibleNullability] kotlin.String?) returnType:kotlin.Unit
               VALUE_PARAMETER name:it index:0 type:@[FlexibleNullability] kotlin.String?
               BLOCK_BODY
@@ -17,7 +17,7 @@ FILE fqName:<root> fileName:/genericSamProjectedOut.kt
         CALL 'public open fun plus (hello: @[FlexibleNullability] example.Hello<@[FlexibleNullability] A of example.SomeJavaClass?>?): @[FlexibleNullability] example.SomeJavaClass<@[FlexibleNullability] A of example.SomeJavaClass?>? declared in example.SomeJavaClass' type=@[FlexibleNullability] example.SomeJavaClass<out @[FlexibleNullability] kotlin.String?>? origin=PLUS
           $this: GET_VAR 'var a: example.SomeJavaClass<out kotlin.String> declared in <root>.test' type=example.SomeJavaClass<out kotlin.String> origin=null
           hello: TYPE_OP type=example.Hello<out @[FlexibleNullability] kotlin.String?> origin=SAM_CONVERSION typeOperand=example.Hello<out @[FlexibleNullability] kotlin.String?>
-            FUN_EXPR type=kotlin.Function1<@[FlexibleNullability] kotlin.String?, kotlin.Unit> origin=LAMBDA
+            FUN_EXPR type=kotlin.Function1<@[FlexibleNullability] kotlin.Nothing?, kotlin.Unit> origin=LAMBDA
               FUN LOCAL_FUNCTION_FOR_LAMBDA name:<anonymous> visibility:local modality:FINAL <> (it:@[FlexibleNullability] kotlin.String?) returnType:kotlin.Unit
                 VALUE_PARAMETER name:it index:0 type:@[FlexibleNullability] kotlin.String?
                 BLOCK_BODY
@@ -26,7 +26,7 @@ FILE fqName:<root> fileName:/genericSamProjectedOut.kt
       CALL 'public open fun get (hello: @[FlexibleNullability] example.Hello<@[FlexibleNullability] A of example.SomeJavaClass?>?): kotlin.Unit declared in example.SomeJavaClass' type=kotlin.Unit origin=null
         $this: GET_VAR 'var a: example.SomeJavaClass<out kotlin.String> declared in <root>.test' type=example.SomeJavaClass<out kotlin.String> origin=null
         hello: TYPE_OP type=example.Hello<out @[FlexibleNullability] kotlin.String?> origin=SAM_CONVERSION typeOperand=example.Hello<out @[FlexibleNullability] kotlin.String?>
-          FUN_EXPR type=kotlin.Function1<@[FlexibleNullability] kotlin.String?, kotlin.Unit> origin=LAMBDA
+          FUN_EXPR type=kotlin.Function1<@[FlexibleNullability] kotlin.Nothing?, kotlin.Unit> origin=LAMBDA
             FUN LOCAL_FUNCTION_FOR_LAMBDA name:<anonymous> visibility:local modality:FINAL <> (it:@[FlexibleNullability] kotlin.String?) returnType:kotlin.Unit
               VALUE_PARAMETER name:it index:0 type:@[FlexibleNullability] kotlin.String?
               BLOCK_BODY
@@ -36,17 +36,18 @@ FILE fqName:<root> fileName:/genericSamProjectedOut.kt
         CALL 'public open fun plus (hello: @[FlexibleNullability] example.Hello<@[FlexibleNullability] A of example.SomeJavaClass?>?): @[FlexibleNullability] example.SomeJavaClass<@[FlexibleNullability] A of example.SomeJavaClass?>? declared in example.SomeJavaClass' type=@[FlexibleNullability] example.SomeJavaClass<out @[FlexibleNullability] kotlin.String?>? origin=null
           $this: GET_VAR 'var a: example.SomeJavaClass<out kotlin.String> declared in <root>.test' type=example.SomeJavaClass<out kotlin.String> origin=null
           hello: TYPE_OP type=example.Hello<out @[FlexibleNullability] kotlin.String?> origin=SAM_CONVERSION typeOperand=example.Hello<out @[FlexibleNullability] kotlin.String?>
-            FUN_EXPR type=kotlin.Function1<@[FlexibleNullability] kotlin.String?, kotlin.Unit> origin=LAMBDA
+            FUN_EXPR type=kotlin.Function1<@[FlexibleNullability] kotlin.Nothing?, kotlin.Unit> origin=LAMBDA
               FUN LOCAL_FUNCTION_FOR_LAMBDA name:<anonymous> visibility:local modality:FINAL <> (it:@[FlexibleNullability] kotlin.String?) returnType:kotlin.Unit
                 VALUE_PARAMETER name:it index:0 type:@[FlexibleNullability] kotlin.String?
                 BLOCK_BODY
                   RETURN type=kotlin.Nothing from='local final fun <anonymous> (it: @[FlexibleNullability] kotlin.String?): kotlin.Unit declared in <root>.test'
                     GET_OBJECT 'CLASS IR_EXTERNAL_DECLARATION_STUB OBJECT name:Unit modality:FINAL visibility:public superTypes:[kotlin.Any]' type=kotlin.Unit
       CALL 'public open fun set (i: kotlin.Int, hello: @[FlexibleNullability] example.Hello<@[FlexibleNullability] A of example.SomeJavaClass?>?): kotlin.Unit declared in example.SomeJavaClass' type=kotlin.Unit origin=null
-        $this: GET_VAR 'var a: example.SomeJavaClass<out kotlin.String> declared in <root>.test' type=example.SomeJavaClass<out kotlin.String> origin=null
+        $this: TYPE_OP type=example.SomeJavaClass<out @[FlexibleNullability] kotlin.String?> origin=IMPLICIT_CAST typeOperand=example.SomeJavaClass<out @[FlexibleNullability] kotlin.String?>
+          GET_VAR 'var a: example.SomeJavaClass<out kotlin.String> declared in <root>.test' type=example.SomeJavaClass<out kotlin.String> origin=null
         i: CONST Int type=kotlin.Int value=0
         hello: TYPE_OP type=example.Hello<out @[FlexibleNullability] kotlin.String?> origin=SAM_CONVERSION typeOperand=example.Hello<out @[FlexibleNullability] kotlin.String?>
-          FUN_EXPR type=kotlin.Function1<@[FlexibleNullability] kotlin.String?, kotlin.Unit> origin=LAMBDA
+          FUN_EXPR type=kotlin.Function1<@[FlexibleNullability] kotlin.Nothing?, kotlin.Unit> origin=LAMBDA
             FUN LOCAL_FUNCTION_FOR_LAMBDA name:<anonymous> visibility:local modality:FINAL <> (it:@[FlexibleNullability] kotlin.String?) returnType:kotlin.Unit
               VALUE_PARAMETER name:it index:0 type:@[FlexibleNullability] kotlin.String?
               BLOCK_BODY
diff --git a/compiler/testData/ir/irText/expressions/sam/genericSamProjectedOut.fir.kt.txt b/compiler/testData/ir/irText/expressions/sam/genericSamProjectedOut.fir.kt.txt
index 0c5b8e9b4f9..7c2dda3d35c 100644
--- a/compiler/testData/ir/irText/expressions/sam/genericSamProjectedOut.fir.kt.txt
+++ b/compiler/testData/ir/irText/expressions/sam/genericSamProjectedOut.fir.kt.txt
@@ -16,7 +16,7 @@ fun test() {
     return Unit
   }
  /*-> Hello<out @FlexibleNullability String?> */)
-  a.set(i = 0, hello = local fun <anonymous>(it: @FlexibleNullability String?) {
+  a /*as SomeJavaClass<out @FlexibleNullability String?> */.set(i = 0, hello = local fun <anonymous>(it: @FlexibleNullability String?) {
     return Unit
   }
  /*-> Hello<out @FlexibleNullability String?> */)
diff --git a/compiler/testData/ir/irText/types/genericFunWithStar.fir.ir.txt b/compiler/testData/ir/irText/types/genericFunWithStar.fir.ir.txt
index ef5f0545c86..c8bec37521a 100644
--- a/compiler/testData/ir/irText/types/genericFunWithStar.fir.ir.txt
+++ b/compiler/testData/ir/irText/types/genericFunWithStar.fir.ir.txt
@@ -76,7 +76,7 @@ FILE fqName:<root> fileName:/genericFunWithStar.kt
       VALUE_PARAMETER name:serializers index:0 type:kotlin.Array<out <root>.I<*>> varargElementType:<root>.I<*> [vararg]
       BLOCK_BODY
         RETURN type=kotlin.Nothing from='public final fun bar (vararg serializers: <root>.I<*>): <root>.I<*> declared in <root>.Box'
-          CALL 'public abstract fun foo <F> (tSerializer: <root>.I<F of <root>.Box.foo>): <root>.I<<root>.Box<F of <root>.Box.foo>> declared in <root>.Box' type=<root>.I<out <root>.Box<*>> origin=null
+          CALL 'public abstract fun foo <F> (tSerializer: <root>.I<F of <root>.Box.foo>): <root>.I<<root>.Box<F of <root>.Box.foo>> declared in <root>.Box' type=<root>.I<out <root>.Box<out <root>.IBase>> origin=null
             <F>: <root>.IBase
             $this: GET_VAR '<this>: <root>.Box<T of <root>.Box> declared in <root>.Box.bar' type=<root>.Box<T of <root>.Box> origin=null
             tSerializer: CALL 'public final fun get (index: kotlin.Int): T of kotlin.Array declared in kotlin.Array' type=<root>.I<*> origin=null
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 87c27ae3c05..405ebae99ac 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
@@ -17917,6 +17917,12 @@ public class DiagnosticTestGenerated extends AbstractDiagnosticTest {
                     runTest("compiler/testData/diagnostics/tests/inference/capturedTypes/capturingFromArgumentOfFlexibleType.kt");
                 }
 
+                @Test
+                @TestMetadata("capturingOfDnn.kt")
+                public void testCapturingOfDnn() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/capturedTypes/capturingOfDnn.kt");
+                }
+
                 @Test
                 @TestMetadata("differentCapturedTypes.kt")
                 public void testDifferentCapturedTypes() throws Exception {
@@ -33742,6 +33748,12 @@ public class DiagnosticTestGenerated extends AbstractDiagnosticTest {
                 runTest("compiler/testData/diagnostics/tests/sealed/DoubleInner.kt");
             }
 
+            @Test
+            @TestMetadata("ExhaustiveOnCaptured.kt")
+            public void testExhaustiveOnCaptured() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/sealed/ExhaustiveOnCaptured.kt");
+            }
+
             @Test
             @TestMetadata("ExhaustiveOnRoot.kt")
             public void testExhaustiveOnRoot() throws Exception {
diff --git a/compiler/tests-spec/testData/diagnostics/notLinked/dfa/pos/50.fir.kt b/compiler/tests-spec/testData/diagnostics/notLinked/dfa/pos/50.fir.kt
index e4dd2ec20b8..37270eff4bc 100644
--- a/compiler/tests-spec/testData/diagnostics/notLinked/dfa/pos/50.fir.kt
+++ b/compiler/tests-spec/testData/diagnostics/notLinked/dfa/pos/50.fir.kt
@@ -27,7 +27,7 @@ fun Any.case_2() {
         <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Any & ClassWithSixTypeParameters<*, *, *, *, *, *>")!>this<!>.test()
         <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Any & ClassWithSixTypeParameters<*, *, *, *, *, *>")!>this<!>.x
         <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Any & ClassWithSixTypeParameters<*, *, *, *, *, *>")!>this<!>.y
-        <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Any?")!>x<!>
+        <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(*)")!>x<!>
         <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Any?")!>y<!>
     }
 }
@@ -49,7 +49,7 @@ fun <T> T?.case_4() {
         <!DEBUG_INFO_EXPRESSION_TYPE("T? & ClassWithSixTypeParameters<*, *, *, *, *, *> & T?!!")!>this<!>.test()
         <!DEBUG_INFO_EXPRESSION_TYPE("T? & ClassWithSixTypeParameters<*, *, *, *, *, *> & T?!!")!>this<!>.x
         <!DEBUG_INFO_EXPRESSION_TYPE("T? & ClassWithSixTypeParameters<*, *, *, *, *, *> & T?!!")!>this<!>.y
-        <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Any?")!>x<!>
+        <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(*)")!>x<!>
         <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Any?")!>y<!>
     }
 }
@@ -62,7 +62,7 @@ fun <T> ClassWithSixTypeParameters<out T, *, T, in T?, *, T>.case_5() {
         <!DEBUG_INFO_EXPRESSION_TYPE("ClassWithSixTypeParameters<out T, *, T, in T?, *, T> & InterfaceWithFiveTypeParameters1<*, *, *, *, *> & ClassWithSixTypeParameters<out T, *, T, in T?, *, T>")!>this<!>.test()
         <!DEBUG_INFO_EXPRESSION_TYPE("ClassWithSixTypeParameters<out T, *, T, in T?, *, T> & InterfaceWithFiveTypeParameters1<*, *, *, *, *> & ClassWithSixTypeParameters<out T, *, T, in T?, *, T>")!>this<!>.x
         <!DEBUG_INFO_EXPRESSION_TYPE("ClassWithSixTypeParameters<out T, *, T, in T?, *, T> & InterfaceWithFiveTypeParameters1<*, *, *, *, *> & ClassWithSixTypeParameters<out T, *, T, in T?, *, T>")!>this<!>.y
-        <!DEBUG_INFO_EXPRESSION_TYPE("T")!>x<!>
+        <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(out T)")!>x<!>
         <!DEBUG_INFO_EXPRESSION_TYPE("T")!>y<!>
     }
 }
@@ -86,8 +86,8 @@ fun <T> Inv<out T>.case_7() {
     if (this.prop_3 is MutableList<*>) {
         this.prop_3
         this.prop_3[0]
-        <!DEBUG_INFO_EXPRESSION_TYPE("T & kotlin.collections.MutableList<*> & T!!")!>prop_3<!>
-        <!DEBUG_INFO_EXPRESSION_TYPE("T & kotlin.collections.MutableList<*> & T!!")!>prop_3<!>[0]
+        <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(out T) & kotlin.collections.MutableList<*> & CapturedType(out T)!!")!>prop_3<!>
+        <!DEBUG_INFO_EXPRESSION_TYPE("CapturedType(out T) & kotlin.collections.MutableList<*> & CapturedType(out T)!!")!>prop_3<!>[0]
     }
 }
 
diff --git a/core/compiler.common/src/org/jetbrains/kotlin/types/model/TypeSystemContext.kt b/core/compiler.common/src/org/jetbrains/kotlin/types/model/TypeSystemContext.kt
index b0a3d4a537d..1bc673a0459 100644
--- a/core/compiler.common/src/org/jetbrains/kotlin/types/model/TypeSystemContext.kt
+++ b/core/compiler.common/src/org/jetbrains/kotlin/types/model/TypeSystemContext.kt
@@ -229,6 +229,11 @@ interface TypeSystemInferenceExtensionContext : TypeSystemContext, TypeSystemBui
     fun CapturedTypeMarker.typeParameter(): TypeParameterMarker?
     fun CapturedTypeMarker.withNotNullProjection(): KotlinTypeMarker
 
+    /**
+     * Only for K2.
+     */
+    fun CapturedTypeMarker.hasRawSuperType(): Boolean
+
     fun TypeVariableMarker.defaultType(): SimpleTypeMarker
 
     fun createTypeWithAlternativeForIntersectionResult(
diff --git a/core/descriptors/src/org/jetbrains/kotlin/types/checker/ClassicTypeSystemContext.kt b/core/descriptors/src/org/jetbrains/kotlin/types/checker/ClassicTypeSystemContext.kt
index e755500cbd7..f6ca687e934 100644
--- a/core/descriptors/src/org/jetbrains/kotlin/types/checker/ClassicTypeSystemContext.kt
+++ b/core/descriptors/src/org/jetbrains/kotlin/types/checker/ClassicTypeSystemContext.kt
@@ -533,6 +533,10 @@ interface ClassicTypeSystemContext : TypeSystemInferenceExtensionContext, TypeSy
 
     override fun CapturedTypeMarker.isOldCapturedType(): Boolean = this is CapturedType
 
+    override fun CapturedTypeMarker.hasRawSuperType(): Boolean {
+        error("Is not expected to be called in K1")
+    }
+
     override fun KotlinTypeMarker.isNullableType(): Boolean {
         require(this is KotlinType, this::errorMessage)
         return TypeUtils.isNullableType(this)