diff --git a/idea/src/org/jetbrains/kotlin/idea/editor/KotlinLiteralCopyPasteProcessor.kt b/idea/src/org/jetbrains/kotlin/idea/editor/KotlinLiteralCopyPasteProcessor.kt
index eb77ab057b9..ba6c4918153 100644
--- a/idea/src/org/jetbrains/kotlin/idea/editor/KotlinLiteralCopyPasteProcessor.kt
+++ b/idea/src/org/jetbrains/kotlin/idea/editor/KotlinLiteralCopyPasteProcessor.kt
@@ -26,6 +26,7 @@ import com.intellij.openapi.util.text.StringUtil
 import com.intellij.psi.PsiDocumentManager
 import com.intellij.psi.PsiElement
 import com.intellij.psi.PsiFile
+import org.jetbrains.annotations.TestOnly
 import org.jetbrains.kotlin.idea.editor.fixers.range
 import org.jetbrains.kotlin.lexer.KotlinLexer
 import org.jetbrains.kotlin.lexer.KtTokens
@@ -198,7 +199,7 @@ private class TemplateTokenSequence(private val inputString: String) : Sequence<
                 else if (lexer.tokenType == KtTokens.LONG_TEMPLATE_ENTRY_END) {
                     depth--
                     if (depth == 0) {
-                        return from + lexer.currentPosition.offset - 1
+                        return from + lexer.currentPosition.offset
                     }
                 }
                 lexer.advance()
@@ -261,3 +262,14 @@ private class TemplateTokenSequence(private val inputString: String) : Sequence<
     override fun iterator(): Iterator<TemplateChunk> = iterTemplateChunks()
 }
 
+@TestOnly
+internal fun createTemplateSequenceTokenString(input:String):String{
+    return TemplateTokenSequence(input).map {
+        when (it){
+            is LiteralChunk -> "LITERAL_CHUNK(${it.text})"
+            is EntryChunk -> "ENTRY_CHUNK(${it.text})"
+            is NewLineChunk -> "NEW_LINE()"
+        }
+    }.joinToString (separator = "")
+}
+
diff --git a/idea/tests/org/jetbrains/kotlin/idea/editor/AbstractLiteralKotlinToKotlinCopyPasteTest.kt b/idea/tests/org/jetbrains/kotlin/idea/editor/AbstractLiteralKotlinToKotlinCopyPasteTest.kt
index 2175d770017..2f89db90583 100644
--- a/idea/tests/org/jetbrains/kotlin/idea/editor/AbstractLiteralKotlinToKotlinCopyPasteTest.kt
+++ b/idea/tests/org/jetbrains/kotlin/idea/editor/AbstractLiteralKotlinToKotlinCopyPasteTest.kt
@@ -32,9 +32,6 @@ abstract class AbstractLiteralKotlinToKotlinCopyPasteTest : AbstractCopyPasteTes
     override fun getProjectDescriptor() = KotlinWithJdkAndRuntimeLightProjectDescriptor.INSTANCE
 
 
-
-
-
     fun doTest(path: String) {
         myFixture.testDataPath = BASE_PATH
         val testName = getTestName(false)
diff --git a/idea/tests/org/jetbrains/kotlin/idea/editor/AbstractLiteralTextToKotlinCopyPasteTest.kt b/idea/tests/org/jetbrains/kotlin/idea/editor/AbstractLiteralTextToKotlinCopyPasteTest.kt
index ddd2f4ac820..2c5df29e195 100644
--- a/idea/tests/org/jetbrains/kotlin/idea/editor/AbstractLiteralTextToKotlinCopyPasteTest.kt
+++ b/idea/tests/org/jetbrains/kotlin/idea/editor/AbstractLiteralTextToKotlinCopyPasteTest.kt
@@ -32,14 +32,10 @@ abstract class AbstractLiteralTextToKotlinCopyPasteTest : AbstractCopyPasteTest(
     override fun getProjectDescriptor() = KotlinWithJdkAndRuntimeLightProjectDescriptor.INSTANCE
 
 
-
-
-
     fun doTest(path: String) {
         myFixture.testDataPath = BASE_PATH
         val testName = getTestName(false)
         myFixture.configureByFiles(testName + ".txt")
-
         val fileText = myFixture.editor.document.text
 
         myFixture.editor.selectionModel.setSelection(0, fileText.length)
diff --git a/idea/tests/org/jetbrains/kotlin/idea/editor/TemplateTokenSequenceTest.kt b/idea/tests/org/jetbrains/kotlin/idea/editor/TemplateTokenSequenceTest.kt
new file mode 100644
index 00000000000..3447fd3de09
--- /dev/null
+++ b/idea/tests/org/jetbrains/kotlin/idea/editor/TemplateTokenSequenceTest.kt
@@ -0,0 +1,55 @@
+/*
+ * Copyright 2010-2017 JetBrains s.r.o.
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ * http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+package org.jetbrains.kotlin.idea.editor
+
+import com.intellij.testFramework.UsefulTestCase
+import org.junit.Assert
+
+
+class TemplateTokenSequenceTest:UsefulTestCase() {
+    fun doTest(input: String, expected:String) {
+        val output = createTemplateSequenceTokenString(input)
+        Assert.assertEquals("Unexpected template sequence output for $input: " , expected, output)
+    }
+
+    fun `test multiple template tokens`(){
+        doTest("literal \${a.length} literal \${b.length}", "LITERAL_CHUNK(literal )ENTRY_CHUNK(\${a.length})LITERAL_CHUNK( literal )ENTRY_CHUNK(\${b.length})")
+    }
+
+    fun `test broken entry`(){
+        doTest("literal \${a.lengt \n literal", "LITERAL_CHUNK(literal )LITERAL_CHUNK(\${a.lengt )NEW_LINE()LITERAL_CHUNK( literal)")
+    }
+
+    fun `test multiple short entries`(){
+        doTest("literal \$a literal \$a", "LITERAL_CHUNK(literal )ENTRY_CHUNK(\$a)LITERAL_CHUNK( literal )ENTRY_CHUNK(\$a)")
+    }
+
+    fun `test leading new lines`(){
+        doTest("\n\nliteral", "NEW_LINE()NEW_LINE()LITERAL_CHUNK(literal)")
+    }
+
+    //last empty line is skipped
+    fun `test trailing new lines`(){
+        doTest("literal\n\n", "LITERAL_CHUNK(literal)NEW_LINE()")
+
+    }
+
+    fun `test multi new lines`(){
+        doTest("literal\n\nliteral", "LITERAL_CHUNK(literal)NEW_LINE()NEW_LINE()LITERAL_CHUNK(literal)")
+
+    }
+}
\ No newline at end of file