diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/ScriptCodeDescriptor.java b/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/ScriptCodeDescriptor.java
new file mode 100644
index 00000000000..9d374209cac
--- /dev/null
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/ScriptCodeDescriptor.java
@@ -0,0 +1,45 @@
+/*
+ * Copyright 2010-2012 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.jet.lang.descriptors;
+
+import org.jetbrains.annotations.NotNull;
+import org.jetbrains.jet.lang.descriptors.annotations.AnnotationDescriptor;
+import org.jetbrains.jet.lang.resolve.name.Name;
+
+import java.util.Collections;
+
+/**
+ * @author Stepan Koltsov
+ */
+public class ScriptCodeDescriptor extends FunctionDescriptorImpl {
+
+    public ScriptCodeDescriptor(@NotNull ScriptDescriptor containingDeclaration) {
+        super(containingDeclaration, Collections.<AnnotationDescriptor>emptyList(), Name.special("<script-code>"), Kind.DECLARATION);
+        setVisibility(Visibilities.LOCAL);
+    }
+
+    @Override
+    protected FunctionDescriptorImpl createSubstitutedCopy(DeclarationDescriptor newOwner, boolean preserveOriginal, Kind kind) {
+        throw new IllegalStateException("no need to copy script code descriptor");
+    }
+
+    @NotNull
+    @Override
+    public FunctionDescriptor copy(DeclarationDescriptor newOwner, boolean makeNonAbstract, boolean makeInvisible, Kind kind, boolean copyOverrides) {
+        throw new IllegalStateException("no need to copy script code descriptor");
+    }
+}
diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/ScriptDescriptor.java b/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/ScriptDescriptor.java
index 15b7abd2419..d468145bb89 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/ScriptDescriptor.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/descriptors/ScriptDescriptor.java
@@ -35,6 +35,8 @@ public class ScriptDescriptor extends DeclarationDescriptorImpl {
     private JetType returnType;
     private List<ValueParameterDescriptor> valueParameters;
 
+    private final ScriptCodeDescriptor scriptCodeDescriptor = new ScriptCodeDescriptor(this);
+
     public ScriptDescriptor(@Nullable DeclarationDescriptor containingDeclaration) {
         super(containingDeclaration, Collections.<AnnotationDescriptor>emptyList(), NAME);
     }
@@ -54,6 +56,11 @@ public class ScriptDescriptor extends DeclarationDescriptorImpl {
         return valueParameters;
     }
 
+    @NotNull
+    public ScriptCodeDescriptor getScriptCodeDescriptor() {
+        return scriptCodeDescriptor;
+    }
+
     @Override
     public DeclarationDescriptor substitute(TypeSubstitutor substitutor) {
         throw new IllegalStateException("nothing to substitute in script");
diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/types/expressions/ExpressionTypingServices.java b/compiler/frontend/src/org/jetbrains/jet/lang/types/expressions/ExpressionTypingServices.java
index b4254229bc2..582247093d4 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/types/expressions/ExpressionTypingServices.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/types/expressions/ExpressionTypingServices.java
@@ -25,6 +25,7 @@ import org.jetbrains.annotations.Nullable;
 import org.jetbrains.jet.lang.descriptors.DeclarationDescriptor;
 import org.jetbrains.jet.lang.descriptors.FunctionDescriptor;
 import org.jetbrains.jet.lang.descriptors.FunctionDescriptorUtil;
+import org.jetbrains.jet.lang.descriptors.ScriptDescriptor;
 import org.jetbrains.jet.lang.descriptors.VariableDescriptor;
 import org.jetbrains.jet.lang.diagnostics.Diagnostic;
 import org.jetbrains.jet.lang.psi.*;
@@ -193,6 +194,13 @@ public class ExpressionTypingServices {
         }
 
         DeclarationDescriptor containingDescriptor = outerScope.getContainingDeclaration();
+        if (containingDescriptor instanceof ScriptDescriptor) {
+            if (!(expression.getParent() instanceof JetScript)) {
+                // top level script declarations should have ScriptDescriptor parent
+                // and lower level script declarations should be ScriptCodeDescriptor parent
+                containingDescriptor = ((ScriptDescriptor) containingDescriptor).getScriptCodeDescriptor();
+            }
+        }
         WritableScope scope = new WritableScopeImpl(outerScope, containingDescriptor, new TraceBasedRedeclarationHandler(context.trace)).setDebugName("getBlockReturnedType");
         scope.changeLockLevel(WritableScope.LockLevel.BOTH);
         return getBlockReturnedTypeWithWritableScope(scope, block, coercionStrategyForLastExpression, context, trace);