diff --git a/jps/jps-plugin/test/org/jetbrains/jet/jps/build/KotlinJpsBuildTest.java b/jps/jps-plugin/test/org/jetbrains/jet/jps/build/KotlinJpsBuildTest.java
index b96c5356fbb..ac2b7d2e6c5 100644
--- a/jps/jps-plugin/test/org/jetbrains/jet/jps/build/KotlinJpsBuildTest.java
+++ b/jps/jps-plugin/test/org/jetbrains/jet/jps/build/KotlinJpsBuildTest.java
@@ -29,9 +29,15 @@ import org.jetbrains.jps.model.java.JpsJavaDependencyScope;
 import org.jetbrains.jps.model.java.JpsJavaExtensionService;
 import org.jetbrains.jps.model.module.JpsModule;
 import org.jetbrains.jps.util.JpsPathUtil;
+import org.jetbrains.org.objectweb.asm.ClassReader;
+import org.jetbrains.org.objectweb.asm.ClassVisitor;
+import org.jetbrains.org.objectweb.asm.MethodVisitor;
+import org.jetbrains.org.objectweb.asm.Opcodes;
 
 import java.io.File;
 import java.io.IOException;
+import java.util.Set;
+import java.util.TreeSet;
 
 public class KotlinJpsBuildTest extends AbstractKotlinJpsBuildTestCase {
     private static final String PROJECT_NAME = "kotlinProject";
@@ -204,6 +210,34 @@ public class KotlinJpsBuildTest extends AbstractKotlinJpsBuildTestCase {
         checkPackageDeletedFromOutputWhen(Operation.CHANGE, "module2", "module2/src/kt1.kt", "kt1.Kt1Package");
     }
 
+    public void testCircularDependenciesSamePackage() throws IOException {
+        initProject();
+        BuildResult result = makeAll();
+        result.assertSuccessful();
+
+        // Check that outputs are located properly
+        File facadeWithA = findFileInOutputDir(findModule("module1"), "test/TestPackage.class");
+        File facadeWithB = findFileInOutputDir(findModule("module2"), "test/TestPackage.class");
+        assertSameElements(getMethodsOfClass(facadeWithA), "a", "getA");
+        assertSameElements(getMethodsOfClass(facadeWithB), "b", "getB", "setB");
+
+        checkPackageDeletedFromOutputWhen(Operation.CHANGE, "module1", "module1/src/a.kt", "test.TestPackage");
+        checkPackageDeletedFromOutputWhen(Operation.CHANGE, "module2", "module2/src/b.kt", "test.TestPackage");
+    }
+
+    @NotNull
+    private static Set<String> getMethodsOfClass(@NotNull File classFile) throws IOException {
+        final Set<String> result = new TreeSet<String>();
+        new ClassReader(FileUtil.loadFileBytes(classFile)).accept(new ClassVisitor(Opcodes.ASM5) {
+            @Override
+            public MethodVisitor visitMethod(int access, String name, String desc, String signature, String[] exceptions) {
+                result.add(name);
+                return null;
+            }
+        }, 0);
+        return result;
+    }
+
     public void testReexportedDependency() {
         initProject();
         addKotlinRuntimeDependency(JpsJavaDependencyScope.COMPILE,
diff --git a/jps/jps-plugin/testData/general/CircularDependenciesSamePackage/kotlinProject.ipr b/jps/jps-plugin/testData/general/CircularDependenciesSamePackage/kotlinProject.ipr
new file mode 100644
index 00000000000..c1a403dd047
--- /dev/null
+++ b/jps/jps-plugin/testData/general/CircularDependenciesSamePackage/kotlinProject.ipr
@@ -0,0 +1,32 @@
+<?xml version="1.0" encoding="UTF-8"?>
+<project version="4">
+  <component name="CompilerConfiguration">
+    <option name="DEFAULT_COMPILER" value="Javac" />
+    <resourceExtensions />
+    <annotationProcessing>
+      <profile default="true" name="Default" enabled="false">
+        <processorPath useClasspath="true" />
+      </profile>
+    </annotationProcessing>
+  </component>
+  <component name="CopyrightManager" default="">
+    <module2copyright />
+  </component>
+  <component name="DependencyValidationManager">
+    <option name="SKIP_IMPORT_STATEMENTS" value="false" />
+  </component>
+  <component name="Encoding" useUTFGuessing="true" native2AsciiForPropertiesFiles="false" />
+  <component name="ProjectModuleManager">
+    <modules>
+      <module fileurl="file://$PROJECT_DIR$/module1/module1.iml" filepath="$PROJECT_DIR$/module1/module1.iml" />
+      <module fileurl="file://$PROJECT_DIR$/module2/module2.iml" filepath="$PROJECT_DIR$/module2/module2.iml" />
+    </modules>
+  </component>
+  <component name="ProjectRootManager" version="2" languageLevel="JDK_1_6" assert-keyword="true" jdk-15="true" project-jdk-name="IDEA_JDK" project-jdk-type="JavaSDK">
+    <output url="file://$PROJECT_DIR$/out" />
+  </component>
+  <component name="VcsDirectoryMappings">
+    <mapping directory="" vcs="" />
+  </component>
+</project>
+
diff --git a/jps/jps-plugin/testData/general/CircularDependenciesSamePackage/module1/module1.iml b/jps/jps-plugin/testData/general/CircularDependenciesSamePackage/module1/module1.iml
new file mode 100644
index 00000000000..b86ce213a79
--- /dev/null
+++ b/jps/jps-plugin/testData/general/CircularDependenciesSamePackage/module1/module1.iml
@@ -0,0 +1,14 @@
+<?xml version="1.0" encoding="xUTF-8"?>
+<module type="JAVA_MODULE" version="4">
+  <component name="NewModuleRootManager" inherit-compiler-output="true">
+    <exclude-output />
+    <content url="file://$MODULE_DIR$">
+      <sourceFolder url="file://$MODULE_DIR$/src" isTestSource="false" />
+    </content>
+    <orderEntry type="jdk" jdkName="IDEA_JDK" jdkType="JavaSDK" />
+    <orderEntry type="sourceFolder" forTests="false" />
+    <orderEntry type="module" module-name="module2" />
+    <orderEntry type="library" name="KotlinRuntime" level="project" />
+  </component>
+</module>
+
diff --git a/jps/jps-plugin/testData/general/CircularDependenciesSamePackage/module1/src/a.kt b/jps/jps-plugin/testData/general/CircularDependenciesSamePackage/module1/src/a.kt
new file mode 100644
index 00000000000..4987d3f36ec
--- /dev/null
+++ b/jps/jps-plugin/testData/general/CircularDependenciesSamePackage/module1/src/a.kt
@@ -0,0 +1,7 @@
+package test
+
+fun a() {
+
+}
+
+val a = ""
\ No newline at end of file
diff --git a/jps/jps-plugin/testData/general/CircularDependenciesSamePackage/module2/module2.iml b/jps/jps-plugin/testData/general/CircularDependenciesSamePackage/module2/module2.iml
new file mode 100644
index 00000000000..ecdc9e147ae
--- /dev/null
+++ b/jps/jps-plugin/testData/general/CircularDependenciesSamePackage/module2/module2.iml
@@ -0,0 +1,14 @@
+<?xml version="1.0" encoding="UTF-8"?>
+<module type="JAVA_MODULE" version="4">
+  <component name="NewModuleRootManager" inherit-compiler-output="true">
+    <exclude-output />
+    <content url="file://$MODULE_DIR$">
+      <sourceFolder url="file://$MODULE_DIR$/src" isTestSource="false" />
+    </content>
+    <orderEntry type="jdk" jdkName="IDEA_JDK" jdkType="JavaSDK" />
+    <orderEntry type="sourceFolder" forTests="false" />
+    <orderEntry type="module" module-name="module1" />
+    <orderEntry type="library" name="KotlinRuntime" level="project" />
+  </component>
+</module>
+
diff --git a/jps/jps-plugin/testData/general/CircularDependenciesSamePackage/module2/src/b.kt b/jps/jps-plugin/testData/general/CircularDependenciesSamePackage/module2/src/b.kt
new file mode 100644
index 00000000000..1dcef1df913
--- /dev/null
+++ b/jps/jps-plugin/testData/general/CircularDependenciesSamePackage/module2/src/b.kt
@@ -0,0 +1,7 @@
+package test
+
+fun b() {
+
+}
+
+var b = ""
\ No newline at end of file