diff --git a/compiler/fir/analysis-tests/testData/resolve/callResolution/typeAliasWithNotNullBound.kt b/compiler/fir/analysis-tests/testData/resolve/callResolution/typeAliasWithNotNullBound.kt
new file mode 100644
index 00000000000..b14854e0a72
--- /dev/null
+++ b/compiler/fir/analysis-tests/testData/resolve/callResolution/typeAliasWithNotNullBound.kt
@@ -0,0 +1,9 @@
+class Inv<E>
+
+typealias MyAlias = Inv<out CharSequence>
+
+fun foo(p: MyAlias) {
+    bar(p).length
+}
+
+fun <T : Any> bar(x: Inv<T>): T = TODO()
diff --git a/compiler/fir/analysis-tests/testData/resolve/callResolution/typeAliasWithNotNullBound.txt b/compiler/fir/analysis-tests/testData/resolve/callResolution/typeAliasWithNotNullBound.txt
new file mode 100644
index 00000000000..3fe6693c865
--- /dev/null
+++ b/compiler/fir/analysis-tests/testData/resolve/callResolution/typeAliasWithNotNullBound.txt
@@ -0,0 +1,14 @@
+FILE: typeAliasWithNotNullBound.kt
+    public final class Inv<E> : R|kotlin/Any| {
+        public constructor<E>(): R|Inv<E>| {
+            super<R|kotlin/Any|>()
+        }
+
+    }
+    public final typealias MyAlias = R|Inv<out kotlin/CharSequence>|
+    public final fun foo(p: R|MyAlias|): R|kotlin/Unit| {
+        R|/bar|<R|CapturedType(out kotlin/CharSequence)|>(R|<local>/p|).R|kotlin/CharSequence.length|
+    }
+    public final fun <T : R|kotlin/Any|> bar(x: R|Inv<T>|): R|T| {
+        ^bar R|kotlin/TODO|()
+    }
diff --git a/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirDiagnosticsTestGenerated.java b/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirDiagnosticsTestGenerated.java
index 1f1f945b602..35d6a0b8503 100644
--- a/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirDiagnosticsTestGenerated.java
+++ b/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirDiagnosticsTestGenerated.java
@@ -633,6 +633,11 @@ public class FirDiagnosticsTestGenerated extends AbstractFirDiagnosticsTest {
         public void testSafeCallOnTypeAlias() throws Exception {
             runTest("compiler/fir/analysis-tests/testData/resolve/callResolution/safeCallOnTypeAlias.kt");
         }
+
+        @TestMetadata("typeAliasWithNotNullBound.kt")
+        public void testTypeAliasWithNotNullBound() throws Exception {
+            runTest("compiler/fir/analysis-tests/testData/resolve/callResolution/typeAliasWithNotNullBound.kt");
+        }
     }
 
     @TestMetadata("compiler/fir/analysis-tests/testData/resolve/cfg")
diff --git a/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirDiagnosticsWithLightTreeTestGenerated.java b/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirDiagnosticsWithLightTreeTestGenerated.java
index 9bd8a7f530a..090ad7a94ed 100644
--- a/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirDiagnosticsWithLightTreeTestGenerated.java
+++ b/compiler/fir/analysis-tests/tests/org/jetbrains/kotlin/fir/FirDiagnosticsWithLightTreeTestGenerated.java
@@ -633,6 +633,11 @@ public class FirDiagnosticsWithLightTreeTestGenerated extends AbstractFirDiagnos
         public void testSafeCallOnTypeAlias() throws Exception {
             runTest("compiler/fir/analysis-tests/testData/resolve/callResolution/safeCallOnTypeAlias.kt");
         }
+
+        @TestMetadata("typeAliasWithNotNullBound.kt")
+        public void testTypeAliasWithNotNullBound() throws Exception {
+            runTest("compiler/fir/analysis-tests/testData/resolve/callResolution/typeAliasWithNotNullBound.kt");
+        }
     }
 
     @TestMetadata("compiler/fir/analysis-tests/testData/resolve/cfg")
diff --git a/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/calls/Arguments.kt b/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/calls/Arguments.kt
index d2cd4bbb5d6..387eb14b1a9 100644
--- a/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/calls/Arguments.kt
+++ b/compiler/fir/resolve/src/org/jetbrains/kotlin/fir/resolve/calls/Arguments.kt
@@ -241,7 +241,13 @@ private fun Candidate.captureTypeFromExpressionOrNull(argumentType: ConeKotlinTy
         return captureTypeFromExpressionOrNull(argumentType.lowerBound)
     }
 
-    if (argumentType.typeArguments.isEmpty() || argumentType !is ConeClassLikeType) return null
+    if (argumentType !is ConeClassLikeType) return null
+
+    argumentType.fullyExpandedType(bodyResolveComponents.session).let {
+        if (it !== argumentType) return captureTypeFromExpressionOrNull(it)
+    }
+
+    if (argumentType.typeArguments.isEmpty()) return null
 
     return bodyResolveComponents.inferenceComponents.ctx.captureFromArguments(
         argumentType, CaptureStatus.FROM_EXPRESSION
diff --git a/compiler/testData/diagnostics/tests/typealias/noApproximationInTypeAliasArgumentSubstitution.fir.kt b/compiler/testData/diagnostics/tests/typealias/noApproximationInTypeAliasArgumentSubstitution.fir.kt
index 6e62fc11653..c18d9f69a1e 100644
--- a/compiler/testData/diagnostics/tests/typealias/noApproximationInTypeAliasArgumentSubstitution.fir.kt
+++ b/compiler/testData/diagnostics/tests/typealias/noApproximationInTypeAliasArgumentSubstitution.fir.kt
@@ -14,4 +14,4 @@ typealias TMap<T> = Map<T, T>
 fun <T> foo2(m: TMap<T>) = m
 
 fun bar2(m: TMap<*>) =
-        foo2(m)
+        <!INAPPLICABLE_CANDIDATE!>foo2<!>(m)