diff --git a/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirOldFrontendDiagnosticsTestGenerated.java b/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirOldFrontendDiagnosticsTestGenerated.java
index 7e58f9a1841..671d156855c 100644
--- a/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirOldFrontendDiagnosticsTestGenerated.java
+++ b/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirOldFrontendDiagnosticsTestGenerated.java
@@ -15343,12 +15343,48 @@ public class FirOldFrontendDiagnosticsTestGenerated extends AbstractFirDiagnosti
                     runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_28.kt");
                 }
 
+                @Test
+                @TestMetadata("kt45461_29.kt")
+                public void testKt45461_29() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_29.kt");
+                }
+
                 @Test
                 @TestMetadata("kt45461_3.kt")
                 public void testKt45461_3() throws Exception {
                     runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_3.kt");
                 }
 
+                @Test
+                @TestMetadata("kt45461_30.kt")
+                public void testKt45461_30() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_30.kt");
+                }
+
+                @Test
+                @TestMetadata("kt45461_31.kt")
+                public void testKt45461_31() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_31.kt");
+                }
+
+                @Test
+                @TestMetadata("kt45461_32.kt")
+                public void testKt45461_32() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_32.kt");
+                }
+
+                @Test
+                @TestMetadata("kt45461_33.kt")
+                public void testKt45461_33() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_33.kt");
+                }
+
+                @Test
+                @TestMetadata("kt45461_34.kt")
+                public void testKt45461_34() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_34.kt");
+                }
+
                 @Test
                 @TestMetadata("kt45461_4.kt")
                 public void testKt45461_4() throws Exception {
diff --git a/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirOldFrontendDiagnosticsWithLightTreeTestGenerated.java b/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirOldFrontendDiagnosticsWithLightTreeTestGenerated.java
index ae1b31204ca..e2519c02be6 100644
--- a/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirOldFrontendDiagnosticsWithLightTreeTestGenerated.java
+++ b/compiler/fir/analysis-tests/tests-gen/org/jetbrains/kotlin/test/runners/FirOldFrontendDiagnosticsWithLightTreeTestGenerated.java
@@ -15343,12 +15343,48 @@ public class FirOldFrontendDiagnosticsWithLightTreeTestGenerated extends Abstrac
                     runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_28.kt");
                 }
 
+                @Test
+                @TestMetadata("kt45461_29.kt")
+                public void testKt45461_29() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_29.kt");
+                }
+
                 @Test
                 @TestMetadata("kt45461_3.kt")
                 public void testKt45461_3() throws Exception {
                     runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_3.kt");
                 }
 
+                @Test
+                @TestMetadata("kt45461_30.kt")
+                public void testKt45461_30() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_30.kt");
+                }
+
+                @Test
+                @TestMetadata("kt45461_31.kt")
+                public void testKt45461_31() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_31.kt");
+                }
+
+                @Test
+                @TestMetadata("kt45461_32.kt")
+                public void testKt45461_32() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_32.kt");
+                }
+
+                @Test
+                @TestMetadata("kt45461_33.kt")
+                public void testKt45461_33() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_33.kt");
+                }
+
+                @Test
+                @TestMetadata("kt45461_34.kt")
+                public void testKt45461_34() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_34.kt");
+                }
+
                 @Test
                 @TestMetadata("kt45461_4.kt")
                 public void testKt45461_4() throws Exception {
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 257849a7e35..d7136f7dc8d 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
@@ -19,6 +19,7 @@ import org.jetbrains.kotlin.fir.symbols.ConeTypeParameterLookupTag
 import org.jetbrains.kotlin.fir.types.impl.ConeClassLikeTypeImpl
 import org.jetbrains.kotlin.fir.types.impl.ConeTypeParameterTypeImpl
 import org.jetbrains.kotlin.name.StandardClassIds
+import org.jetbrains.kotlin.resolve.calls.NewCommonSuperTypeCalculator.commonSuperType
 import org.jetbrains.kotlin.types.AbstractTypeChecker
 import org.jetbrains.kotlin.types.AbstractTypeRefiner
 import org.jetbrains.kotlin.types.TypeCheckerState
@@ -502,8 +503,8 @@ interface ConeInferenceContext : TypeSystemInferenceExtensionContext, ConeTypeCo
                 this
             else {
                 var functionalSupertype: KotlinTypeMarker? = null
-                simpleType.anySuperTypeConstructor { typeConstructor ->
-                    simpleType.fastCorrespondingSupertypes(typeConstructor)?.any { superType ->
+                simpleType.anySuperTypeConstructor { type ->
+                    simpleType.fastCorrespondingSupertypes(type.typeConstructor())?.any { superType ->
                         val isFunctional = superType.cast<ConeKotlinType>().isBuiltinFunctionalType(session)
                         if (isFunctional)
                             functionalSupertype = superType
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 b8fe97e4185..0b47d97e587 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
@@ -631,7 +631,8 @@ internal fun captureFromTypeParameterUpperBoundIfNeeded(
 private fun ConeKotlinType.hasSupertypeWithGivenClassId(classId: ClassId, context: TypeSystemCommonSuperTypesContext): Boolean {
     return with(context) {
         anySuperTypeConstructor {
-            it is ConeClassLikeLookupTag && it.classId == classId
+            val typeConstructor = it.typeConstructor()
+            typeConstructor is ConeClassLikeLookupTag && typeConstructor.classId == classId
         }
     }
 }
diff --git a/compiler/testData/diagnostics/tests/inference/builderInference/stubTypes/intersect.kt b/compiler/testData/diagnostics/tests/inference/builderInference/stubTypes/intersect.kt
index 9224ad1ebce..4b92674c263 100644
--- a/compiler/testData/diagnostics/tests/inference/builderInference/stubTypes/intersect.kt
+++ b/compiler/testData/diagnostics/tests/inference/builderInference/stubTypes/intersect.kt
@@ -38,10 +38,10 @@ fun test() {
 
         build2 {
             emit(1)
-            <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Int")!><!INFERRED_TYPE_VARIABLE_INTO_EMPTY_INTERSECTION_WARNING!>intersect<!>(this@build.getIn(), getIn())<!>
-            <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.String")!><!INFERRED_TYPE_VARIABLE_INTO_EMPTY_INTERSECTION_WARNING!>intersect<!>(getIn(), Test.foo(this@build.getIn()))<!>
-            <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Int")!><!INFERRED_TYPE_VARIABLE_INTO_EMPTY_INTERSECTION_WARNING!>intersect<!>(Test.foo(this@build.getIn()), Test.foo(getIn()))<!>
-            <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.String")!><!INFERRED_TYPE_VARIABLE_INTO_EMPTY_INTERSECTION_WARNING!>intersect<!>(Test.foo(getIn()), this@build.getIn())<!>
+            <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Int")!>intersect(<!TYPE_MISMATCH!>this@build.getIn()<!>, getIn())<!>
+            <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.String")!>intersect(<!TYPE_MISMATCH!>getIn()<!>, Test.foo(this@build.getIn()))<!>
+            <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.Int")!>intersect(<!TYPE_MISMATCH!>Test.foo(this@build.getIn())<!>, Test.foo(getIn()))<!>
+            <!DEBUG_INFO_EXPRESSION_TYPE("kotlin.String")!>intersect(<!TYPE_MISMATCH!>Test.foo(getIn())<!>, this@build.getIn())<!>
             ""
         }
         ""
diff --git a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_29.fir.kt b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_29.fir.kt
new file mode 100644
index 00000000000..98674519815
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_29.fir.kt
@@ -0,0 +1,15 @@
+class Foo<T>
+
+class Bar<T> {
+    fun <S : T> takeFoo(foo: Foo<in S>) {}
+}
+
+class Inv<P>
+
+interface A
+interface B
+
+fun <K : Inv<A>> main() {
+    val foo = Foo<K>()
+    Bar<Inv<B>>().<!INFERRED_TYPE_VARIABLE_INTO_EMPTY_INTERSECTION_WARNING!>takeFoo<!>(foo) // error in 1.3.72, no error in 1.4.31
+}
diff --git a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_29.kt b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_29.kt
new file mode 100644
index 00000000000..98674519815
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_29.kt
@@ -0,0 +1,15 @@
+class Foo<T>
+
+class Bar<T> {
+    fun <S : T> takeFoo(foo: Foo<in S>) {}
+}
+
+class Inv<P>
+
+interface A
+interface B
+
+fun <K : Inv<A>> main() {
+    val foo = Foo<K>()
+    Bar<Inv<B>>().<!INFERRED_TYPE_VARIABLE_INTO_EMPTY_INTERSECTION_WARNING!>takeFoo<!>(foo) // error in 1.3.72, no error in 1.4.31
+}
diff --git a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_29.txt b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_29.txt
new file mode 100644
index 00000000000..cc53a5edf9c
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_29.txt
@@ -0,0 +1,37 @@
+package
+
+public fun </*0*/ K : Inv<A>> main(): kotlin.Unit
+
+public interface A {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface B {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class Bar</*0*/ T> {
+    public constructor Bar</*0*/ T>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public final fun </*0*/ S : T> takeFoo(/*0*/ foo: Foo<in S>): kotlin.Unit
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class Foo</*0*/ T> {
+    public constructor Foo</*0*/ T>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class Inv</*0*/ P> {
+    public constructor Inv</*0*/ P>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
diff --git a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_30.fir.kt b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_30.fir.kt
new file mode 100644
index 00000000000..7437993de9d
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_30.fir.kt
@@ -0,0 +1,15 @@
+class Foo<T>
+
+class Bar<T> {
+    fun <S : T> takeFoo(foo: Foo<in S>) {}
+}
+
+class Out<out P>
+
+interface A<K>
+interface B<K> : A<Int>
+
+fun <K : Out<A<String>>> main() {
+    val foo = Foo<K>()
+    Bar<Out<B<String>>>().<!INFERRED_TYPE_VARIABLE_INTO_EMPTY_INTERSECTION_WARNING!>takeFoo<!>(foo) // error in 1.3.72, no error in 1.4.31
+}
diff --git a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_30.kt b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_30.kt
new file mode 100644
index 00000000000..7437993de9d
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_30.kt
@@ -0,0 +1,15 @@
+class Foo<T>
+
+class Bar<T> {
+    fun <S : T> takeFoo(foo: Foo<in S>) {}
+}
+
+class Out<out P>
+
+interface A<K>
+interface B<K> : A<Int>
+
+fun <K : Out<A<String>>> main() {
+    val foo = Foo<K>()
+    Bar<Out<B<String>>>().<!INFERRED_TYPE_VARIABLE_INTO_EMPTY_INTERSECTION_WARNING!>takeFoo<!>(foo) // error in 1.3.72, no error in 1.4.31
+}
diff --git a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_30.txt b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_30.txt
new file mode 100644
index 00000000000..e7e5408e887
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_30.txt
@@ -0,0 +1,37 @@
+package
+
+public fun </*0*/ K : Out<A<kotlin.String>>> main(): kotlin.Unit
+
+public interface A</*0*/ K> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface B</*0*/ K> : A<kotlin.Int> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class Bar</*0*/ T> {
+    public constructor Bar</*0*/ T>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public final fun </*0*/ S : T> takeFoo(/*0*/ foo: Foo<in S>): kotlin.Unit
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class Foo</*0*/ T> {
+    public constructor Foo</*0*/ T>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class Out</*0*/ out P> {
+    public constructor Out</*0*/ out P>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
diff --git a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_31.fir.kt b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_31.fir.kt
new file mode 100644
index 00000000000..24364ceab0b
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_31.fir.kt
@@ -0,0 +1,15 @@
+class Foo<T>
+
+class Bar<T> {
+    fun <S : T> takeFoo(foo: Foo<in S>) {}
+}
+
+class Out<out P>
+
+interface A<K>
+interface B : A<Int>
+
+fun <K : Out<A<String>>> main() {
+    val foo = Foo<K>()
+    Bar<Out<B>>().<!INFERRED_TYPE_VARIABLE_INTO_EMPTY_INTERSECTION_WARNING!>takeFoo<!>(foo) // error in 1.3.72, no error in 1.4.31
+}
diff --git a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_31.kt b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_31.kt
new file mode 100644
index 00000000000..24364ceab0b
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_31.kt
@@ -0,0 +1,15 @@
+class Foo<T>
+
+class Bar<T> {
+    fun <S : T> takeFoo(foo: Foo<in S>) {}
+}
+
+class Out<out P>
+
+interface A<K>
+interface B : A<Int>
+
+fun <K : Out<A<String>>> main() {
+    val foo = Foo<K>()
+    Bar<Out<B>>().<!INFERRED_TYPE_VARIABLE_INTO_EMPTY_INTERSECTION_WARNING!>takeFoo<!>(foo) // error in 1.3.72, no error in 1.4.31
+}
diff --git a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_31.txt b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_31.txt
new file mode 100644
index 00000000000..89bebb08337
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_31.txt
@@ -0,0 +1,37 @@
+package
+
+public fun </*0*/ K : Out<A<kotlin.String>>> main(): kotlin.Unit
+
+public interface A</*0*/ K> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface B : A<kotlin.Int> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class Bar</*0*/ T> {
+    public constructor Bar</*0*/ T>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public final fun </*0*/ S : T> takeFoo(/*0*/ foo: Foo<in S>): kotlin.Unit
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class Foo</*0*/ T> {
+    public constructor Foo</*0*/ T>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class Out</*0*/ out P> {
+    public constructor Out</*0*/ out P>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
diff --git a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_32.fir.kt b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_32.fir.kt
new file mode 100644
index 00000000000..a1c46761b80
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_32.fir.kt
@@ -0,0 +1,16 @@
+class Foo<T>
+
+class Bar<T> {
+    fun <S : T> takeFoo(foo: Foo<in S>) {}
+}
+
+class Out<out P>
+
+interface A<K>
+interface B : A<Int>
+interface C : A<String>
+
+fun <K : Out<C>> main() {
+    val foo = Foo<K>()
+    Bar<Out<B>>().<!INFERRED_TYPE_VARIABLE_INTO_EMPTY_INTERSECTION_WARNING!>takeFoo<!>(foo) // error in 1.3.72, no error in 1.4.31
+}
diff --git a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_32.kt b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_32.kt
new file mode 100644
index 00000000000..a1c46761b80
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_32.kt
@@ -0,0 +1,16 @@
+class Foo<T>
+
+class Bar<T> {
+    fun <S : T> takeFoo(foo: Foo<in S>) {}
+}
+
+class Out<out P>
+
+interface A<K>
+interface B : A<Int>
+interface C : A<String>
+
+fun <K : Out<C>> main() {
+    val foo = Foo<K>()
+    Bar<Out<B>>().<!INFERRED_TYPE_VARIABLE_INTO_EMPTY_INTERSECTION_WARNING!>takeFoo<!>(foo) // error in 1.3.72, no error in 1.4.31
+}
diff --git a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_32.txt b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_32.txt
new file mode 100644
index 00000000000..b8e617eba89
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_32.txt
@@ -0,0 +1,43 @@
+package
+
+public fun </*0*/ K : Out<C>> main(): kotlin.Unit
+
+public interface A</*0*/ K> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface B : A<kotlin.Int> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class Bar</*0*/ T> {
+    public constructor Bar</*0*/ T>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public final fun </*0*/ S : T> takeFoo(/*0*/ foo: Foo<in S>): kotlin.Unit
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public interface C : A<kotlin.String> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class Foo</*0*/ T> {
+    public constructor Foo</*0*/ T>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class Out</*0*/ out P> {
+    public constructor Out</*0*/ out P>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
diff --git a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_33.fir.kt b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_33.fir.kt
new file mode 100644
index 00000000000..0af0f745e3f
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_33.fir.kt
@@ -0,0 +1,16 @@
+class Foo<T>
+
+class Bar<T> {
+    fun <S : T> takeFoo(foo: Foo<in S>) {}
+}
+
+class Out<out P>
+
+interface A<K>
+class B : A<Int>
+class C : A<String>
+
+fun <K : <!FINAL_UPPER_BOUND!>Out<C><!>> main() {
+    val foo = Foo<K>()
+    Bar<Out<B>>().<!INFERRED_TYPE_VARIABLE_INTO_EMPTY_INTERSECTION_WARNING!>takeFoo<!>(foo) // error in 1.3.72, no error in 1.4.31
+}
diff --git a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_33.kt b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_33.kt
new file mode 100644
index 00000000000..0af0f745e3f
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_33.kt
@@ -0,0 +1,16 @@
+class Foo<T>
+
+class Bar<T> {
+    fun <S : T> takeFoo(foo: Foo<in S>) {}
+}
+
+class Out<out P>
+
+interface A<K>
+class B : A<Int>
+class C : A<String>
+
+fun <K : <!FINAL_UPPER_BOUND!>Out<C><!>> main() {
+    val foo = Foo<K>()
+    Bar<Out<B>>().<!INFERRED_TYPE_VARIABLE_INTO_EMPTY_INTERSECTION_WARNING!>takeFoo<!>(foo) // error in 1.3.72, no error in 1.4.31
+}
diff --git a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_33.txt b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_33.txt
new file mode 100644
index 00000000000..1dc9cd8b415
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_33.txt
@@ -0,0 +1,45 @@
+package
+
+public fun </*0*/ K : Out<C>> main(): kotlin.Unit
+
+public interface A</*0*/ K> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class B : A<kotlin.Int> {
+    public constructor B()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class Bar</*0*/ T> {
+    public constructor Bar</*0*/ T>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public final fun </*0*/ S : T> takeFoo(/*0*/ foo: Foo<in S>): kotlin.Unit
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class C : A<kotlin.String> {
+    public constructor C()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class Foo</*0*/ T> {
+    public constructor Foo</*0*/ T>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class Out</*0*/ out P> {
+    public constructor Out</*0*/ out P>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
diff --git a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_34.fir.kt b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_34.fir.kt
new file mode 100644
index 00000000000..a3dbc03234e
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_34.fir.kt
@@ -0,0 +1,15 @@
+class Foo<T>
+
+class Bar<T> {
+    fun <S : T> takeFoo(foo: Foo<in S>) {}
+}
+
+class Out<out P>
+
+interface A<K>
+class B : A<Int>
+
+fun <K : Out<A<String>>> main() {
+    val foo = Foo<K>()
+    Bar<Out<B>>().<!INFERRED_TYPE_VARIABLE_INTO_EMPTY_INTERSECTION_WARNING!>takeFoo<!>(foo) // error in 1.3.72, no error in 1.4.31
+}
diff --git a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_34.kt b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_34.kt
new file mode 100644
index 00000000000..a3dbc03234e
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_34.kt
@@ -0,0 +1,15 @@
+class Foo<T>
+
+class Bar<T> {
+    fun <S : T> takeFoo(foo: Foo<in S>) {}
+}
+
+class Out<out P>
+
+interface A<K>
+class B : A<Int>
+
+fun <K : Out<A<String>>> main() {
+    val foo = Foo<K>()
+    Bar<Out<B>>().<!INFERRED_TYPE_VARIABLE_INTO_EMPTY_INTERSECTION_WARNING!>takeFoo<!>(foo) // error in 1.3.72, no error in 1.4.31
+}
diff --git a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_34.txt b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_34.txt
new file mode 100644
index 00000000000..27896aa94f5
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_34.txt
@@ -0,0 +1,38 @@
+package
+
+public fun </*0*/ K : Out<A<kotlin.String>>> main(): kotlin.Unit
+
+public interface A</*0*/ K> {
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class B : A<kotlin.Int> {
+    public constructor B()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class Bar</*0*/ T> {
+    public constructor Bar</*0*/ T>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public final fun </*0*/ S : T> takeFoo(/*0*/ foo: Foo<in S>): kotlin.Unit
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class Foo</*0*/ T> {
+    public constructor Foo</*0*/ T>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
+
+public final class Out</*0*/ out P> {
+    public constructor Out</*0*/ out P>()
+    public open override /*1*/ /*fake_override*/ fun equals(/*0*/ other: kotlin.Any?): kotlin.Boolean
+    public open override /*1*/ /*fake_override*/ fun hashCode(): kotlin.Int
+    public open override /*1*/ /*fake_override*/ fun toString(): kotlin.String
+}
diff --git a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt51016.fir.kt b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt51016.fir.kt
deleted file mode 100644
index 57e9d0eab0c..00000000000
--- a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt51016.fir.kt
+++ /dev/null
@@ -1,11 +0,0 @@
-interface A<T>
-interface B<T> : A<T>
-
-fun <T : Comparable<T>, S : T?> B<in S>.foo(t: T) {}
-fun <T : Comparable<T>, S : T?> A<in S>.foo(other: A<in S>) {}
-
-interface C<T> : B<T>, Comparable<C<*>>
-
-fun test(x: C<Long?>) {
-    x.foo(x)  // OVERLOAD_RESOLUTION_AMBIGUITY, shoub be OK
-}
\ No newline at end of file
diff --git a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt51016.kt b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt51016.kt
index d60d080cff1..90645a094d3 100644
--- a/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt51016.kt
+++ b/compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt51016.kt
@@ -1,3 +1,4 @@
+// FIR_IDENTICAL
 interface A<T>
 interface B<T> : A<T>
 
@@ -7,5 +8,5 @@ fun <T : Comparable<T>, S : T?> A<in S>.foo(other: A<in S>) {}
 interface C<T> : B<T>, Comparable<C<*>>
 
 fun test(x: C<Long?>) {
-    x.<!OVERLOAD_RESOLUTION_AMBIGUITY!>foo<!>(x)  // OVERLOAD_RESOLUTION_AMBIGUITY, shoub be OK
+    x.foo(x)  // OVERLOAD_RESOLUTION_AMBIGUITY, shoub be OK
 }
diff --git a/compiler/testData/diagnostics/testsWithStdLib/inference/completion/postponedArgumentsAnalysis/callableReferences.kt b/compiler/testData/diagnostics/testsWithStdLib/inference/completion/postponedArgumentsAnalysis/callableReferences.kt
index 96b52e45bb3..ba831efc6ba 100644
--- a/compiler/testData/diagnostics/testsWithStdLib/inference/completion/postponedArgumentsAnalysis/callableReferences.kt
+++ b/compiler/testData/diagnostics/testsWithStdLib/inference/completion/postponedArgumentsAnalysis/callableReferences.kt
@@ -53,5 +53,5 @@ fun main() {
 
     select(id(::foo5), id { x: A -> }, id { x: B -> }, id { <!DEBUG_INFO_EXPRESSION_TYPE("C")!>it<!> })
 
-    val x2: (Int) -> Unit = selectNumber(id(<!DEBUG_INFO_EXPRESSION_TYPE("kotlin.reflect.KFunction1<kotlin.Number, kotlin.Unit>")!>::foo6<!>), id { x -> <!DEBUG_INFO_EXPRESSION_TYPE("{Comparable<*> & Number}")!>x<!> }, id { <!DEBUG_INFO_EXPRESSION_TYPE("{Comparable<*> & Number}")!>it<!> })
+    val x2: (Int) -> Unit = selectNumber(id(::<!CALLABLE_REFERENCE_RESOLUTION_AMBIGUITY!>foo6<!>), id { x -> <!DEBUG_INFO_EXPRESSION_TYPE("{Comparable<*> & Number}")!>x<!> }, id { <!DEBUG_INFO_EXPRESSION_TYPE("{Comparable<*> & Number}")!>it<!> })
 }
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 bbce687e669..2b50b20167f 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
@@ -15349,12 +15349,48 @@ public class DiagnosticTestGenerated extends AbstractDiagnosticTest {
                     runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_28.kt");
                 }
 
+                @Test
+                @TestMetadata("kt45461_29.kt")
+                public void testKt45461_29() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_29.kt");
+                }
+
                 @Test
                 @TestMetadata("kt45461_3.kt")
                 public void testKt45461_3() throws Exception {
                     runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_3.kt");
                 }
 
+                @Test
+                @TestMetadata("kt45461_30.kt")
+                public void testKt45461_30() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_30.kt");
+                }
+
+                @Test
+                @TestMetadata("kt45461_31.kt")
+                public void testKt45461_31() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_31.kt");
+                }
+
+                @Test
+                @TestMetadata("kt45461_32.kt")
+                public void testKt45461_32() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_32.kt");
+                }
+
+                @Test
+                @TestMetadata("kt45461_33.kt")
+                public void testKt45461_33() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_33.kt");
+                }
+
+                @Test
+                @TestMetadata("kt45461_34.kt")
+                public void testKt45461_34() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/inference/emptyIntersectionTypes/kt45461_34.kt");
+                }
+
                 @Test
                 @TestMetadata("kt45461_4.kt")
                 public void testKt45461_4() throws Exception {
diff --git a/core/compiler.common/src/org/jetbrains/kotlin/types/AbstractTypeChecker.kt b/core/compiler.common/src/org/jetbrains/kotlin/types/AbstractTypeChecker.kt
index 0c113d96fcf..170013ec5a6 100644
--- a/core/compiler.common/src/org/jetbrains/kotlin/types/AbstractTypeChecker.kt
+++ b/core/compiler.common/src/org/jetbrains/kotlin/types/AbstractTypeChecker.kt
@@ -205,6 +205,16 @@ object AbstractTypeChecker {
         return isSubtypeOf(context.newTypeCheckerState(true, stubTypesEqualToAnything), subType, superType)
     }
 
+    fun areRelatedBySubtyping(
+        context: TypeCheckerProviderContext,
+        subType: KotlinTypeMarker,
+        superType: KotlinTypeMarker,
+        stubTypesEqualToAnything: Boolean = true
+    ): Boolean {
+        val typeCheckerContext = context.newTypeCheckerState(true, stubTypesEqualToAnything)
+        return isSubtypeOf(typeCheckerContext, subType, superType) || isSubtypeOf(typeCheckerContext, superType, subType)
+    }
+
     fun isSubtypeOfClass(
         state: TypeCheckerState,
         typeConstructor: TypeConstructorMarker,
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 f6bd55ac53f..a651bd1723d 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
@@ -105,11 +105,11 @@ interface TypeCheckerProviderContext {
  */
 interface TypeSystemCommonSuperTypesContext : TypeSystemContext, TypeSystemTypeFactoryContext, TypeCheckerProviderContext {
 
-    fun KotlinTypeMarker.anySuperTypeConstructor(predicate: (TypeConstructorMarker) -> Boolean) =
+    fun KotlinTypeMarker.anySuperTypeConstructor(predicate: (SimpleTypeMarker) -> Boolean) =
         newTypeCheckerState(errorTypesEqualToAnything = false, stubTypesEqualToAnything = true)
             .anySupertype(
                 lowerBoundIfFlexible(),
-                { predicate(it.typeConstructor()) },
+                { predicate(it) },
                 { TypeCheckerState.SupertypesPolicy.LowerIfFlexible }
             )
 
@@ -325,13 +325,13 @@ interface TypeSystemInferenceExtensionContext : TypeSystemContext, TypeSystemBui
 
         for (i in 0 until types.size) {
             val firstType = types[i]
-            if (!firstType.typeConstructor().mayCauseEmptyIntersection()) continue
+            if (!firstType.mayCauseEmptyIntersection()) continue
 
             val firstSubstitutedType by lazy { firstType.eraseContainingTypeParameters() }
 
             for (j in i + 1 until types.size) {
                 val secondType = types[j]
-                if (!secondType.typeConstructor().mayCauseEmptyIntersection()) continue
+                if (!secondType.mayCauseEmptyIntersection()) continue
 
                 val secondSubstitutedType = secondType.eraseContainingTypeParameters()
 
@@ -343,6 +343,30 @@ interface TypeSystemInferenceExtensionContext : TypeSystemContext, TypeSystemBui
         return EmptyIntersectionTypeKind.NOT_EMPTY_INTERSECTION
     }
 
+    private fun canHaveCommonSubtypeWithInterface(firstType: KotlinTypeMarker, secondType: KotlinTypeMarker): Boolean {
+        require(firstType.typeConstructor().isInterface() || secondType.typeConstructor().isInterface()) {
+            "One of the passed type should be an interface"
+        }
+        @Suppress("NAME_SHADOWING")
+        val firstType = firstType.withNullability(false)
+
+        @Suppress("NAME_SHADOWING")
+        val secondType = secondType.withNullability(false)
+
+        // interface A<K>
+        // interface B: A<String>
+        // interface C: A<Int>
+        // B & C can't have common subtype due to having incompatible supertypes: A<String> and A<Int>
+        val haveIncompatibleSupertypes = firstType.anySuperTypeConstructor { superTypeOfFirst ->
+            secondType.anySuperTypeConstructor { superTypeOfSecond ->
+                superTypeOfFirst.typeConstructor() == superTypeOfSecond.typeConstructor()
+                        && !AbstractTypeChecker.equalTypes(this, superTypeOfFirst, superTypeOfSecond)
+            }
+        }
+
+        return !haveIncompatibleSupertypes
+    }
+
     private fun canHaveCommonSubtype(first: KotlinTypeMarker, second: KotlinTypeMarker): Boolean {
         fun extractIntersectionComponentsIfNeeded(type: KotlinTypeMarker) =
             if (type.typeConstructor() is IntersectionTypeConstructorMarker) {
@@ -350,26 +374,28 @@ interface TypeSystemInferenceExtensionContext : TypeSystemContext, TypeSystemBui
             } else listOf(type)
 
         val expandedTypes = extractIntersectionComponentsIfNeeded(first) + extractIntersectionComponentsIfNeeded(second)
-
         val typeCheckerState = newTypeCheckerState(errorTypesEqualToAnything = true, stubTypesEqualToAnything = true)
 
-        for (i in 0 until expandedTypes.size) {
+        for (i in expandedTypes.indices) {
             val firstType = expandedTypes[i]
             val firstTypeConstructor = firstType.typeConstructor()
 
-            if (!firstTypeConstructor.mayCauseEmptyIntersection())
+            if (!firstType.mayCauseEmptyIntersection())
                 continue
 
             for (j in i + 1 until expandedTypes.size) {
                 val secondType = expandedTypes[j]
                 val secondTypeConstructor = secondType.typeConstructor()
 
-                if (!secondTypeConstructor.mayCauseEmptyIntersection())
+                if (!secondType.mayCauseEmptyIntersection())
                     continue
 
                 if (areEqualTypeConstructors(firstTypeConstructor, secondTypeConstructor) && secondTypeConstructor.parametersCount() == 0)
                     continue
 
+                if (AbstractTypeChecker.areRelatedBySubtyping(this, firstType, secondType))
+                    continue
+
                 val superTypeByFirstConstructor = AbstractTypeChecker.findCorrespondingSupertypes(
                     typeCheckerState, firstType.lowerBoundIfFlexible(), secondTypeConstructor
                 ).singleOrNull()
@@ -377,15 +403,20 @@ interface TypeSystemInferenceExtensionContext : TypeSystemContext, TypeSystemBui
                     typeCheckerState, secondType.lowerBoundIfFlexible(), firstTypeConstructor
                 ).singleOrNull()
 
-                if (superTypeByFirstConstructor == null && superTypeBySecondConstructor == null)
+                val anyInference = firstTypeConstructor.isInterface() || secondTypeConstructor.isInterface()
+
+                // Two classes can't have a common subtype if neither is a subtype of another
+                if (superTypeByFirstConstructor == null && superTypeBySecondConstructor == null && !anyInference)
+                    return false
+
+                if (anyInference && !canHaveCommonSubtypeWithInterface(firstType, secondType))
                     return false
 
                 if (superTypeByFirstConstructor == null || superTypeBySecondConstructor == null)
                     continue // first or second is actually subtype of another
 
-                if (!checkArgumentsOfTypesToBeAbleToHaveCommonSubtype(superTypeByFirstConstructor, superTypeBySecondConstructor)) {
+                if (!checkArgumentsOfTypesToBeAbleToHaveCommonSubtype(superTypeByFirstConstructor, superTypeBySecondConstructor))
                     return false
-                }
             }
         }
 
@@ -400,8 +431,19 @@ interface TypeSystemInferenceExtensionContext : TypeSystemContext, TypeSystemBui
     private fun computeEffectiveVariance(parameter: TypeParameterMarker, argument: TypeArgumentMarker): TypeVariance? =
         AbstractTypeChecker.effectiveVariance(parameter.getVariance(), argument.getVariance())
 
-    private fun TypeConstructorMarker.mayCauseEmptyIntersection(): Boolean =
-        (isClassTypeConstructor() || isTypeParameterTypeConstructor()) && !isInterface() && !isAnyConstructor() && !isNothingConstructor()
+    private fun KotlinTypeMarker.mayCauseEmptyIntersection(): Boolean {
+        val typeConstructor = typeConstructor()
+
+        if (!typeConstructor.isClassTypeConstructor() && !typeConstructor.isTypeParameterTypeConstructor())
+            return false
+
+        // Even two interfaces may be an empty intersection type:
+        // interface Inv<K>
+        // interface B : Inv<Int>
+        // `Inv<String> & B` or `Inv<String> & Inv<Int>` are empty
+        // So we don't filter out interfaces here
+        return !typeConstructor.isAnyConstructor() && !typeConstructor.isNothingConstructor()
+    }
 
     private fun areArgumentsOfSpecifiedVariances(
         firstType: KotlinTypeMarker,
@@ -431,6 +473,9 @@ interface TypeSystemInferenceExtensionContext : TypeSystemContext, TypeSystemBui
         fun isSubtypeOf(firstType: KotlinTypeMarker, secondType: KotlinTypeMarker) =
             AbstractTypeChecker.isSubtypeOf(this, firstType, secondType)
 
+        fun areEqualTypes(firstType: KotlinTypeMarker, secondType: KotlinTypeMarker) =
+            AbstractTypeChecker.equalTypes(this, firstType, secondType)
+
         for ((i, argumentOfFirst) in firstType.getArguments().withIndex()) {
             @Suppress("NAME_SHADOWING")
             val argumentOfFirst = argumentOfFirst.uncaptureIfNeeded()
@@ -444,31 +489,27 @@ interface TypeSystemInferenceExtensionContext : TypeSystemContext, TypeSystemBui
 
             when {
                 areArgumentsOfSpecifiedVariances(firstType, secondType, i, TypeVariance.INV, TypeVariance.INV) ->
-                    return false
+                    return areEqualTypes(argumentTypeOfFirst, argumentTypeOfSecond)
                 areArgumentsOfSpecifiedVariances(firstType, secondType, i, TypeVariance.INV, TypeVariance.OUT) -> {
-                    if (!isSubtypeOf(argumentTypeOfFirst, argumentTypeOfSecond)) {
+                    if (!isSubtypeOf(argumentTypeOfFirst, argumentTypeOfSecond))
                         return false
-                    }
                 }
                 areArgumentsOfSpecifiedVariances(firstType, secondType, i, TypeVariance.INV, TypeVariance.IN) -> {
-                    if (!isSubtypeOf(argumentTypeOfSecond, argumentTypeOfFirst)) {
+                    if (!isSubtypeOf(argumentTypeOfSecond, argumentTypeOfFirst))
                         return false
-                    }
                 }
                 areArgumentsOfSpecifiedVariances(firstType, secondType, i, TypeVariance.IN, TypeVariance.OUT) -> {
                     if (argumentTypeOfFirst.argumentsCount() == 0 && argumentTypeOfSecond.argumentsCount() == 0) {
-                        if (!isSubtypeOf(argumentTypeOfFirst, argumentTypeOfSecond)) {
+                        if (!isSubtypeOf(argumentTypeOfFirst, argumentTypeOfSecond))
                             return false
-                        }
                     } else if (!canHaveCommonSubtype(argumentTypeOfFirst, argumentTypeOfSecond)) {
                         return false
                     }
                 }
                 areArgumentsOfSpecifiedVariances(firstType, secondType, i, TypeVariance.OUT, TypeVariance.OUT)
                         || areArgumentsOfSpecifiedVariances(firstType, secondType, i, TypeVariance.IN, TypeVariance.IN) -> {
-                    if (!canHaveCommonSubtype(argumentTypeOfFirst, argumentTypeOfSecond)) {
+                    if (!canHaveCommonSubtype(argumentTypeOfFirst, argumentTypeOfSecond))
                         return false
-                    }
                 }
             }
         }