diff --git a/compiler/tests-common/tests/org/jetbrains/kotlin/checkers/AbstractForeignAnnotationsCompiledJavaDiagnosticTest.kt b/compiler/tests-common/tests/org/jetbrains/kotlin/checkers/AbstractForeignAnnotationsCompiledJavaDiagnosticTest.kt
new file mode 100644
index 00000000000..2f06585782b
--- /dev/null
+++ b/compiler/tests-common/tests/org/jetbrains/kotlin/checkers/AbstractForeignAnnotationsCompiledJavaDiagnosticTest.kt
@@ -0,0 +1,43 @@
+/*
+ * Copyright 2010-2020 JetBrains s.r.o. and Kotlin Programming Language contributors.
+ * Use of this source code is governed by the Apache 2.0 license that can be found in the license/LICENSE.txt file.
+ */
+
+package org.jetbrains.kotlin.checkers
+
+import org.jetbrains.kotlin.test.KotlinTestUtils
+import org.jetbrains.kotlin.test.MockLibraryUtil.compileJavaFilesLibraryToJar
+import java.io.File
+import kotlin.io.path.ExperimentalPathApi
+import kotlin.io.path.createTempDirectory
+
+abstract class AbstractForeignAnnotationsCompiledJavaDiagnosticTest : AbstractDiagnosticsTest() {
+    @OptIn(ExperimentalPathApi::class)
+    override fun doMultiFileTest(
+        wholeFile: File,
+        files: List<TestFile>
+    ) {
+        val ktFiles = files.filter { !it.name.endsWith(".java") }
+
+        val dir = createTempDirectory()
+        val javaFile = File("${wholeFile.parentFile.path}/${wholeFile.nameWithoutExtension}.java")
+
+        File("$dir/${wholeFile.nameWithoutExtension}.java").apply { createNewFile() }.writeText(javaFile.readText())
+        File(FOREIGN_JDK8_ANNOTATIONS_SOURCES_PATH).copyRecursively(File("$dir/annotations/"))
+
+        super.doMultiFileTest(
+            wholeFile,
+            ktFiles,
+            compileJavaFilesLibraryToJar(dir.toString(), "foreign-annotations"),
+            usePsiClassFilesReading = false,
+            excludeNonTypeUseJetbrainsAnnotations = true
+        )
+    }
+
+    override fun doTest(filePath: String) {
+        val file = File(filePath)
+        val expectedText = KotlinTestUtils.doLoadFile(file)
+
+        doMultiFileTest(file, createTestFilesFromFile(file, expectedText))
+    }
+}
diff --git a/compiler/tests-common/tests/org/jetbrains/kotlin/checkers/AbstractJspecifyAnnotationsTest.kt b/compiler/tests-common/tests/org/jetbrains/kotlin/checkers/AbstractJspecifyAnnotationsTest.kt
index 7978bd93e43..f4e9707b930 100644
--- a/compiler/tests-common/tests/org/jetbrains/kotlin/checkers/AbstractJspecifyAnnotationsTest.kt
+++ b/compiler/tests-common/tests/org/jetbrains/kotlin/checkers/AbstractJspecifyAnnotationsTest.kt
@@ -27,7 +27,9 @@ abstract class AbstractJspecifyAnnotationsTest : AbstractDiagnosticsTest() {
         super.doMultiFileTest(
             wholeFile,
             files,
-            MockLibraryUtil.compileJavaFilesLibraryToJar(FOREIGN_JDK8_ANNOTATIONS_SOURCES_PATH, "foreign-annotations")
+            MockLibraryUtil.compileJavaFilesLibraryToJar(FOREIGN_JDK8_ANNOTATIONS_SOURCES_PATH, "foreign-annotations"),
+            usePsiClassFilesReading = false,
+            excludeNonTypeUseJetbrainsAnnotations = true
         )
     }
 
diff --git a/compiler/tests-common/tests/org/jetbrains/kotlin/checkers/BaseDiagnosticsTest.kt b/compiler/tests-common/tests/org/jetbrains/kotlin/checkers/BaseDiagnosticsTest.kt
index 5cd4b9a80c9..df464dec6f1 100644
--- a/compiler/tests-common/tests/org/jetbrains/kotlin/checkers/BaseDiagnosticsTest.kt
+++ b/compiler/tests-common/tests/org/jetbrains/kotlin/checkers/BaseDiagnosticsTest.kt
@@ -86,9 +86,12 @@ abstract class BaseDiagnosticsTest : KotlinMultiFileTestWithJava<TestModule, Tes
     fun doMultiFileTest(
         wholeFile: File,
         files: List<TestFile>,
-        additionalClasspath: File? = null
+        additionalClasspath: File? = null,
+        usePsiClassFilesReading: Boolean = true,
+        excludeNonTypeUseJetbrainsAnnotations: Boolean = false
     ) {
-        environment = createEnvironment(wholeFile, files, additionalClasspath)
+        environment =
+            createEnvironment(wholeFile, files, additionalClasspath, usePsiClassFilesReading, excludeNonTypeUseJetbrainsAnnotations)
         //after environment initialization cause of `tearDown` logic, maybe it's obsolete
         if (shouldSkipTest(wholeFile, files)) {
             println("${wholeFile.name} test is skipped")
diff --git a/compiler/tests-common/tests/org/jetbrains/kotlin/checkers/KotlinMultiFileTestWithJava.kt b/compiler/tests-common/tests/org/jetbrains/kotlin/checkers/KotlinMultiFileTestWithJava.kt
index 83f9942cde0..8f239d5fc43 100644
--- a/compiler/tests-common/tests/org/jetbrains/kotlin/checkers/KotlinMultiFileTestWithJava.kt
+++ b/compiler/tests-common/tests/org/jetbrains/kotlin/checkers/KotlinMultiFileTestWithJava.kt
@@ -46,13 +46,16 @@ abstract class KotlinMultiFileTestWithJava<M : KotlinBaseTest.TestModule, F : Ko
     protected fun createEnvironment(
         file: File,
         files: List<F>,
-        additionalClasspath: File? = null
+        additionalClasspath: File? = null,
+        usePsiClassFilesReading: Boolean = true,
+        excludeNonTypeUseJetbrainsAnnotations: Boolean = false
     ): KotlinCoreEnvironment {
+        val defaultClasspath = getClasspath(file, excludeNonTypeUseJetbrainsAnnotations)
         val configuration = createConfiguration(
             extractConfigurationKind(files),
             getTestJdkKind(files),
             backend,
-            if (additionalClasspath == null) getClasspath(file) else getClasspath(file) + additionalClasspath,
+            if (additionalClasspath == null) defaultClasspath else defaultClasspath + additionalClasspath,
             if (isJavaSourceRootNeeded()) listOf(javaFilesDir) else emptyList(),
             files
         )
@@ -63,9 +66,9 @@ abstract class KotlinMultiFileTestWithJava<M : KotlinBaseTest.TestModule, F : Ko
             configuration.addKotlinSourceRoot(kotlinSourceRoot!!.path)
         }
 
-        // Currently, we're testing IDE behavior when generating the .txt files for comparison, but this can be changed.
+        // Currently, by default, we're testing IDE behavior when generating the .txt files for comparison, but this can be changed.
         // The main difference is the fact that the new class file reading implementation doesn't load parameter names from JDK classes.
-        configuration.put(JVMConfigurationKeys.USE_PSI_CLASS_FILES_READING, true)
+        configuration.put(JVMConfigurationKeys.USE_PSI_CLASS_FILES_READING, usePsiClassFilesReading)
 
         updateConfiguration(configuration)
         return createForTests(testRootDisposable, configuration, getEnvironmentConfigFiles())
@@ -81,9 +84,11 @@ abstract class KotlinMultiFileTestWithJava<M : KotlinBaseTest.TestModule, F : Ko
         setupEnvironment(environment)
     }
 
-    private fun getClasspath(file: File): List<File> {
+    private fun getClasspath(file: File, excludeNonTypeUseJetbrainsAnnotations: Boolean): List<File> {
         val result: MutableList<File> = ArrayList()
-        result.add(KtTestUtil.getAnnotationsJar())
+        if (!excludeNonTypeUseJetbrainsAnnotations) {
+            result.add(KtTestUtil.getAnnotationsJar())
+        }
         result.addAll(getExtraClasspath())
         val fileText = file.readText(Charsets.UTF_8)
         if (InTextDirectivesUtils.isDirectiveDefined(fileText, "ANDROID_ANNOTATIONS")) {
@@ -129,7 +134,7 @@ abstract class KotlinMultiFileTestWithJava<M : KotlinBaseTest.TestModule, F : Ko
                 fileName: String,
                 text: String,
                 directives: Directives
-            ): F? {
+            ): F {
                 if (fileName.endsWith(".java")) {
                     writeSourceFile(fileName, text, javaFilesDir)
                 }
diff --git a/compiler/tests-java8/tests/org/jetbrains/kotlin/generators/tests/GenerateJava8Tests.kt b/compiler/tests-java8/tests/org/jetbrains/kotlin/generators/tests/GenerateJava8Tests.kt
index e093f96c947..108602199d2 100644
--- a/compiler/tests-java8/tests/org/jetbrains/kotlin/generators/tests/GenerateJava8Tests.kt
+++ b/compiler/tests-java8/tests/org/jetbrains/kotlin/generators/tests/GenerateJava8Tests.kt
@@ -16,10 +16,7 @@
 
 package org.jetbrains.kotlin.generators.tests
 
-import org.jetbrains.kotlin.checkers.AbstractForeignJava8AnnotationsNoAnnotationInClasspathTest
-import org.jetbrains.kotlin.checkers.AbstractForeignJava8AnnotationsNoAnnotationInClasspathWithPsiClassReadingTest
-import org.jetbrains.kotlin.checkers.AbstractForeignJava8AnnotationsTest
-import org.jetbrains.kotlin.checkers.AbstractJspecifyAnnotationsTest
+import org.jetbrains.kotlin.checkers.*
 import org.jetbrains.kotlin.checkers.javac.AbstractJavacForeignJava8AnnotationsTest
 import org.jetbrains.kotlin.generators.impl.generateTestGroupSuite
 import org.jetbrains.kotlin.jvm.compiler.AbstractLoadJava8Test
@@ -52,6 +49,10 @@ fun main(args: Array<String>) {
                 model("foreignAnnotationsJava8/tests/jspecify/kotlin")
             }
 
+            testClass<AbstractForeignAnnotationsCompiledJavaDiagnosticTest> {
+                model("foreignAnnotationsJava8/tests/typeEnhancementOnCompiledJava")
+            }
+
             testClass<AbstractLoadJava8Test> {
                 model("loadJava8/compiledJava", extension = "java", testMethod = "doTestCompiledJava")
                 model("loadJava8/sourceJava", extension = "java", testMethod = "doTestSourceJava")