diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/psi/JetModifiableBlockHelper.java b/compiler/frontend/src/org/jetbrains/jet/lang/psi/JetModifiableBlockHelper.java
deleted file mode 100644
index 511e200bb8d..00000000000
--- a/compiler/frontend/src/org/jetbrains/jet/lang/psi/JetModifiableBlockHelper.java
+++ /dev/null
@@ -1,84 +0,0 @@
-/*
- * Copyright 2010-2013 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.psi;
-
-import com.intellij.psi.PsiElement;
-import com.intellij.psi.util.PsiTreeUtil;
-
-public final class JetModifiableBlockHelper {
-    private JetModifiableBlockHelper() {
-    }
-
-    /**
-     * Tested in OutOfBlockModificationTestGenerated
-     */
-    public static boolean shouldChangeModificationCount(PsiElement place) {
-        JetDeclaration declaration = PsiTreeUtil.getParentOfType(place, JetDeclaration.class, true);
-        if (declaration != null) {
-            if (declaration instanceof JetNamedFunction) {
-                JetNamedFunction function = (JetNamedFunction) declaration;
-                if (function.hasDeclaredReturnType() || function.hasBlockBody()) {
-                    return takePartInDeclarationTypeInference(function);
-                }
-
-                return shouldChangeModificationCount(function);
-            }
-            else if (declaration instanceof JetPropertyAccessor) {
-                return takePartInDeclarationTypeInference(declaration);
-            }
-            else if (declaration instanceof JetProperty) {
-                JetProperty property = (JetProperty) declaration;
-                if (property.getTypeReference() != null) {
-                    return takePartInDeclarationTypeInference(property);
-                }
-
-                return shouldChangeModificationCount(property);
-            }
-            else if (declaration instanceof JetMultiDeclaration || declaration instanceof JetMultiDeclarationEntry) {
-                return shouldChangeModificationCount(declaration);
-            }
-            else if (declaration instanceof JetFunctionLiteral) {
-                // TODO: Check return type
-                return shouldChangeModificationCount(declaration);
-            }
-        }
-
-        return true;
-    }
-
-    private static boolean takePartInDeclarationTypeInference(PsiElement place) {
-        JetDeclaration declaration = PsiTreeUtil.getParentOfType(place, JetDeclaration.class, true);
-        if (declaration != null) {
-            if (declaration instanceof JetNamedFunction) {
-                JetNamedFunction function = (JetNamedFunction) declaration;
-                if (!function.hasDeclaredReturnType() && !function.hasBlockBody()) {
-                    return true;
-                }
-            }
-            else if (declaration instanceof JetProperty) {
-                JetProperty property = (JetProperty) declaration;
-                if (property.getTypeReference() == null) {
-                    return true;
-                }
-            }
-
-            return takePartInDeclarationTypeInference(declaration);
-        }
-
-        return false;
-    }
-}
diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/psi/JetModifiableBlockHelper.kt b/compiler/frontend/src/org/jetbrains/jet/lang/psi/JetModifiableBlockHelper.kt
new file mode 100644
index 00000000000..f37613c026b
--- /dev/null
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/psi/JetModifiableBlockHelper.kt
@@ -0,0 +1,83 @@
+/*
+ * Copyright 2010-2014 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.psi
+
+import com.intellij.psi.PsiElement
+import com.intellij.psi.util.PsiTreeUtil
+
+/**
+ * Tested in OutOfBlockModificationTestGenerated
+ */
+public fun shouldChangeModificationCount(place: PsiElement): Boolean {
+    // false -> inside code block
+    // true -> means nothing, parent will be checked
+
+    val declaration = PsiTreeUtil.getParentOfType<JetDeclaration>(place, javaClass<JetDeclaration>(), true)
+    if (declaration == null) return true
+
+    return when (declaration) {
+        is JetNamedFunction -> {
+            val function: JetNamedFunction = declaration
+            if (function.hasDeclaredReturnType() || function.hasBlockBody()) {
+                takePartInDeclarationTypeInference(function)
+            }
+            else {
+                shouldChangeModificationCount(function)
+            }
+        }
+        is JetPropertyAccessor -> {
+            takePartInDeclarationTypeInference(declaration)
+        }
+        is JetProperty -> {
+            val property = declaration as JetProperty
+            if (property.getTypeReference() != null) {
+                takePartInDeclarationTypeInference(property)
+            }
+            else {
+                shouldChangeModificationCount(property)
+            }
+        }
+        is JetMultiDeclaration, is JetMultiDeclarationEntry, is JetFunctionLiteral -> {
+            shouldChangeModificationCount(declaration)
+        }
+        else -> {
+            true
+        }
+    }
+}
+
+private fun takePartInDeclarationTypeInference(place: PsiElement): Boolean {
+    val declaration = PsiTreeUtil.getParentOfType<JetDeclaration>(place, javaClass<JetDeclaration>(), true)
+    if (declaration != null) {
+        if (declaration is JetNamedFunction) {
+            val function = declaration as JetNamedFunction
+            if (!function.hasDeclaredReturnType() && !function.hasBlockBody()) {
+                return true
+            }
+        }
+        else if (declaration is JetProperty) {
+            val property = declaration as JetProperty
+            if (property.getTypeReference() == null) {
+                return true
+            }
+        }
+
+        return takePartInDeclarationTypeInference(declaration)
+    }
+
+    return false
+}
\ No newline at end of file
diff --git a/compiler/jet.as.java.psi/src/org/jetbrains/jet/asJava/JetCodeBlockModificationListener.java b/compiler/jet.as.java.psi/src/org/jetbrains/jet/asJava/JetCodeBlockModificationListener.java
index b9381ac9450..7582d820a94 100644
--- a/compiler/jet.as.java.psi/src/org/jetbrains/jet/asJava/JetCodeBlockModificationListener.java
+++ b/compiler/jet.as.java.psi/src/org/jetbrains/jet/asJava/JetCodeBlockModificationListener.java
@@ -26,7 +26,7 @@ import org.jetbrains.annotations.NotNull;
 import org.jetbrains.jet.lang.psi.JetBlockExpression;
 import org.jetbrains.jet.lang.psi.JetClass;
 import org.jetbrains.jet.lang.psi.JetFile;
-import org.jetbrains.jet.lang.psi.JetModifiableBlockHelper;
+import org.jetbrains.jet.lang.psi.PsiPackage;
 
 public class JetCodeBlockModificationListener implements PsiTreeChangePreprocessor {
     private static final Logger LOG = Logger.getInstance("#org.jetbrains.jet.asJava.JetCodeBlockModificationListener");
@@ -107,20 +107,18 @@ public class JetCodeBlockModificationListener implements PsiTreeChangePreprocess
     }
 
     private static boolean isInsideCodeBlock(PsiElement element) {
-        if (element instanceof PsiFileSystemItem) {
-            return false;
-        }
+        if (element instanceof PsiFileSystemItem) return false;
 
         if (element == null || element.getParent() == null) return true;
 
         PsiElement parent = element;
         while (true) {
-            if (parent instanceof PsiFile || parent instanceof PsiDirectory || parent == null) {
-                return false;
-            }
+            if (parent instanceof PsiFile || parent instanceof PsiDirectory || parent == null) return false;
+
             if (parent instanceof JetClass) return false; // anonymous or local class
+
             if (parent instanceof JetBlockExpression) {
-                if (!JetModifiableBlockHelper.shouldChangeModificationCount(element)) {
+                if (!PsiPackage.shouldChangeModificationCount(element)) {
                     return true;
                 }
             }