diff --git a/compiler/fir/checkers/checkers-component-generator/src/org/jetbrains/kotlin/fir/checkers/generator/diagnostics/FirDiagnosticsList.kt b/compiler/fir/checkers/checkers-component-generator/src/org/jetbrains/kotlin/fir/checkers/generator/diagnostics/FirDiagnosticsList.kt
index 4d4d13f2729..305bb6b1869 100644
--- a/compiler/fir/checkers/checkers-component-generator/src/org/jetbrains/kotlin/fir/checkers/generator/diagnostics/FirDiagnosticsList.kt
+++ b/compiler/fir/checkers/checkers-component-generator/src/org/jetbrains/kotlin/fir/checkers/generator/diagnostics/FirDiagnosticsList.kt
@@ -921,6 +921,9 @@ object DIAGNOSTICS_LIST : DiagnosticList("FirErrors") {
     val TYPE_ALIAS by object : DiagnosticGroup("Type alias") {
         val TOPLEVEL_TYPEALIASES_ONLY by error<KtTypeAlias>()
         val RECURSIVE_TYPEALIAS_EXPANSION by error<KtElement>()
+        val TYPEALIAS_SHOULD_EXPAND_TO_CLASS by error<KtElement> {
+            parameter<ConeKotlinType>("expandedType")
+        }
     }
 
     val EXTENDED_CHECKERS by object : DiagnosticGroup("Extended checkers") {
diff --git a/compiler/fir/checkers/gen/org/jetbrains/kotlin/fir/analysis/diagnostics/FirErrors.kt b/compiler/fir/checkers/gen/org/jetbrains/kotlin/fir/analysis/diagnostics/FirErrors.kt
index 55a2bdcf822..49e5eb4e84e 100644
--- a/compiler/fir/checkers/gen/org/jetbrains/kotlin/fir/analysis/diagnostics/FirErrors.kt
+++ b/compiler/fir/checkers/gen/org/jetbrains/kotlin/fir/analysis/diagnostics/FirErrors.kt
@@ -500,6 +500,7 @@ object FirErrors {
     // Type alias
     val TOPLEVEL_TYPEALIASES_ONLY by error0<KtTypeAlias>()
     val RECURSIVE_TYPEALIAS_EXPANSION by error0<KtElement>()
+    val TYPEALIAS_SHOULD_EXPAND_TO_CLASS by error1<KtElement, ConeKotlinType>()
 
     // Extended checkers
     val REDUNDANT_VISIBILITY_MODIFIER by warning0<KtModifierListOwner>(SourceElementPositioningStrategies.VISIBILITY_MODIFIER)
diff --git a/compiler/fir/checkers/src/org/jetbrains/kotlin/fir/analysis/checkers/declaration/FirTypeAliasChecker.kt b/compiler/fir/checkers/src/org/jetbrains/kotlin/fir/analysis/checkers/declaration/FirTypeAliasChecker.kt
index e34baa09a94..881781224ac 100644
--- a/compiler/fir/checkers/src/org/jetbrains/kotlin/fir/analysis/checkers/declaration/FirTypeAliasChecker.kt
+++ b/compiler/fir/checkers/src/org/jetbrains/kotlin/fir/analysis/checkers/declaration/FirTypeAliasChecker.kt
@@ -12,12 +12,49 @@ import org.jetbrains.kotlin.fir.analysis.diagnostics.reportOn
 import org.jetbrains.kotlin.fir.declarations.FirFile
 import org.jetbrains.kotlin.fir.declarations.FirMemberDeclaration
 import org.jetbrains.kotlin.fir.declarations.FirTypeAlias
+import org.jetbrains.kotlin.fir.resolve.diagnostics.ConeUnsupportedDynamicType
+import org.jetbrains.kotlin.fir.resolve.fullyExpandedType
+import org.jetbrains.kotlin.fir.resolve.toSymbol
+import org.jetbrains.kotlin.fir.symbols.impl.FirTypeAliasSymbol
+import org.jetbrains.kotlin.fir.types.*
 
 object FirTypeAliasChecker : FirMemberDeclarationChecker() {
     override fun check(declaration: FirMemberDeclaration, context: CheckerContext, reporter: DiagnosticReporter) {
         if (declaration !is FirTypeAlias) return
+
         if (context.containingDeclarations.lastOrNull() !is FirFile) {
             reporter.reportOn(declaration.source, FirErrors.TOPLEVEL_TYPEALIASES_ONLY, context)
         }
+
+        fun containsTypeParameter(type: ConeKotlinType): Boolean {
+            if (type is ConeTypeParameterType) {
+                return true
+            }
+
+            if (type is ConeClassLikeType && type.lookupTag.toSymbol(context.session) is FirTypeAliasSymbol) {
+                for (typeArgument in type.typeArguments) {
+                    val typeArgumentType = (typeArgument as? ConeKotlinType) ?: (typeArgument as? ConeKotlinTypeProjection)?.type
+                    if (typeArgumentType != null && containsTypeParameter(typeArgumentType)) {
+                        return true
+                    }
+                }
+            }
+
+            return false
+        }
+
+        val expandedTypeRef = declaration.expandedTypeRef
+        val fullyExpandedType = expandedTypeRef.coneType.fullyExpandedType(context.session)
+
+        if (containsTypeParameter(fullyExpandedType) ||
+            fullyExpandedType is ConeClassErrorType && fullyExpandedType.diagnostic is ConeUnsupportedDynamicType
+        ) {
+            reporter.reportOn(
+                declaration.expandedTypeRef.source,
+                FirErrors.TYPEALIAS_SHOULD_EXPAND_TO_CLASS,
+                expandedTypeRef.coneType,
+                context
+            )
+        }
     }
 }
\ No newline at end of file
diff --git a/compiler/fir/checkers/src/org/jetbrains/kotlin/fir/analysis/diagnostics/FirDefaultErrorMessages.kt b/compiler/fir/checkers/src/org/jetbrains/kotlin/fir/analysis/diagnostics/FirDefaultErrorMessages.kt
index b12ecadfe31..5b43fec7baf 100644
--- a/compiler/fir/checkers/src/org/jetbrains/kotlin/fir/analysis/diagnostics/FirDefaultErrorMessages.kt
+++ b/compiler/fir/checkers/src/org/jetbrains/kotlin/fir/analysis/diagnostics/FirDefaultErrorMessages.kt
@@ -308,6 +308,7 @@ import org.jetbrains.kotlin.fir.analysis.diagnostics.FirErrors.SYNTAX
 import org.jetbrains.kotlin.fir.analysis.diagnostics.FirErrors.THROWABLE_TYPE_MISMATCH
 import org.jetbrains.kotlin.fir.analysis.diagnostics.FirErrors.TOO_MANY_ARGUMENTS
 import org.jetbrains.kotlin.fir.analysis.diagnostics.FirErrors.TOPLEVEL_TYPEALIASES_ONLY
+import org.jetbrains.kotlin.fir.analysis.diagnostics.FirErrors.TYPEALIAS_SHOULD_EXPAND_TO_CLASS
 import org.jetbrains.kotlin.fir.analysis.diagnostics.FirErrors.TYPE_ARGUMENTS_NOT_ALLOWED
 import org.jetbrains.kotlin.fir.analysis.diagnostics.FirErrors.TYPE_CANT_BE_USED_FOR_CONST_VAL
 import org.jetbrains.kotlin.fir.analysis.diagnostics.FirErrors.TYPE_MISMATCH
@@ -1183,6 +1184,11 @@ class FirDefaultErrorMessages {
             // Type alias
             map.put(TOPLEVEL_TYPEALIASES_ONLY, "Nested and local type aliases are not supported")
             map.put(RECURSIVE_TYPEALIAS_EXPANSION, "Recursive type alias in expansion")
+            map.put(
+                TYPEALIAS_SHOULD_EXPAND_TO_CLASS,
+                "Type alias expands to {0}, which is not a class, an interface, or an object",
+                RENDER_TYPE
+            )
 
             // Returns
             map.put(RETURN_NOT_ALLOWED, "'return' is not allowed here")
diff --git a/compiler/testData/diagnostics/tests/classLiteral/typealiases.fir.kt b/compiler/testData/diagnostics/tests/classLiteral/typealiases.fir.kt
index f280c2b4f14..65512e40add 100644
--- a/compiler/testData/diagnostics/tests/classLiteral/typealiases.fir.kt
+++ b/compiler/testData/diagnostics/tests/classLiteral/typealiases.fir.kt
@@ -9,7 +9,7 @@ typealias TTNullableTString = TNullableTString
 fun f3() = TTNullableTString::class
 
 inline fun <reified T> f4(b: Boolean): Any {
-    <!TOPLEVEL_TYPEALIASES_ONLY!>typealias X = T<!>
-    <!TOPLEVEL_TYPEALIASES_ONLY!>typealias Y = T?<!>
+    <!TOPLEVEL_TYPEALIASES_ONLY!>typealias X = <!TYPEALIAS_SHOULD_EXPAND_TO_CLASS!>T<!><!>
+    <!TOPLEVEL_TYPEALIASES_ONLY!>typealias Y = <!TYPEALIAS_SHOULD_EXPAND_TO_CLASS!>T?<!><!>
     return if (b) <!UNRESOLVED_REFERENCE!>X<!>::class else <!UNRESOLVED_REFERENCE!>Y<!>::class
 }
diff --git a/compiler/testData/diagnostics/tests/typealias/typeAliasShouldExpandToClass.fir.kt b/compiler/testData/diagnostics/tests/typealias/typeAliasShouldExpandToClass.fir.kt
deleted file mode 100644
index ba72e03fbe7..00000000000
--- a/compiler/testData/diagnostics/tests/typealias/typeAliasShouldExpandToClass.fir.kt
+++ /dev/null
@@ -1,16 +0,0 @@
-// !DIAGNOSTICS: -UNUSED_VARIABLE -UNUSED_PARAMETER -TOPLEVEL_TYPEALIASES_ONLY
-
-typealias ToTypeParam1<T> = T
-typealias ToTypeParam2<T> = ToTypeParam1<T>
-typealias ToTypeParam3<T1, T2> = ToTypeParam2<T1>
-typealias ToTypeParam4 = ToTypeParam1<Any>
-
-typealias ToFun1 = () -> Unit
-typealias ToFun2<T> = (T) -> Unit
-
-class Outer {
-    typealias ToTypeParam1<T> = T
-    typealias ToTypeParam2<T> = ToTypeParam1<T>
-    typealias ToTypeParam3<T1, T2> = ToTypeParam2<T1>
-    typealias ToTypeParam4 = ToTypeParam1<Any>
-}
diff --git a/compiler/testData/diagnostics/tests/typealias/typeAliasShouldExpandToClass.kt b/compiler/testData/diagnostics/tests/typealias/typeAliasShouldExpandToClass.kt
index 3dfdc3e6e5f..690b6894732 100644
--- a/compiler/testData/diagnostics/tests/typealias/typeAliasShouldExpandToClass.kt
+++ b/compiler/testData/diagnostics/tests/typealias/typeAliasShouldExpandToClass.kt
@@ -1,5 +1,8 @@
+// FIR_IDENTICAL
 // !DIAGNOSTICS: -UNUSED_VARIABLE -UNUSED_PARAMETER -TOPLEVEL_TYPEALIASES_ONLY
 
+typealias Dyn = <!TYPEALIAS_SHOULD_EXPAND_TO_CLASS, UNSUPPORTED!>dynamic<!>
+
 typealias ToTypeParam1<T> = <!TYPEALIAS_SHOULD_EXPAND_TO_CLASS!>T<!>
 typealias ToTypeParam2<T> = <!TYPEALIAS_SHOULD_EXPAND_TO_CLASS!>ToTypeParam1<T><!>
 typealias ToTypeParam3<T1, T2> = <!TYPEALIAS_SHOULD_EXPAND_TO_CLASS!>ToTypeParam2<T1><!>
diff --git a/compiler/testData/diagnostics/tests/typealias/typeAliasShouldExpandToClass.txt b/compiler/testData/diagnostics/tests/typealias/typeAliasShouldExpandToClass.txt
index 9d9b35f6810..2e554ee69f3 100644
--- a/compiler/testData/diagnostics/tests/typealias/typeAliasShouldExpandToClass.txt
+++ b/compiler/testData/diagnostics/tests/typealias/typeAliasShouldExpandToClass.txt
@@ -10,9 +10,11 @@ public final class Outer {
     public typealias ToTypeParam3</*0*/ T1, /*1*/ T2> = Outer.ToTypeParam2<T1>
     public typealias ToTypeParam4 = Outer.ToTypeParam1<kotlin.Any>
 }
+public typealias Dyn = [ERROR : dynamic type in wrong context]
 public typealias ToFun1 = () -> kotlin.Unit
 public typealias ToFun2</*0*/ T> = (T) -> kotlin.Unit
 public typealias ToTypeParam1</*0*/ T> = T
 public typealias ToTypeParam2</*0*/ T> = ToTypeParam1<T>
 public typealias ToTypeParam3</*0*/ T1, /*1*/ T2> = ToTypeParam2<T1>
 public typealias ToTypeParam4 = ToTypeParam1<kotlin.Any>
+
diff --git a/idea/idea-frontend-fir/src/org/jetbrains/kotlin/idea/frontend/api/fir/diagnostics/KtFirDataClassConverters.kt b/idea/idea-frontend-fir/src/org/jetbrains/kotlin/idea/frontend/api/fir/diagnostics/KtFirDataClassConverters.kt
index da919c98c06..de135d28c56 100644
--- a/idea/idea-frontend-fir/src/org/jetbrains/kotlin/idea/frontend/api/fir/diagnostics/KtFirDataClassConverters.kt
+++ b/idea/idea-frontend-fir/src/org/jetbrains/kotlin/idea/frontend/api/fir/diagnostics/KtFirDataClassConverters.kt
@@ -2498,6 +2498,13 @@ internal val KT_DIAGNOSTIC_CONVERTER = KtDiagnosticConverterBuilder.buildConvert
             token,
         )
     }
+    add(FirErrors.TYPEALIAS_SHOULD_EXPAND_TO_CLASS) { firDiagnostic ->
+        TypealiasShouldExpandToClassImpl(
+            firSymbolBuilder.typeBuilder.buildKtType(firDiagnostic.a),
+            firDiagnostic as FirPsiDiagnostic,
+            token,
+        )
+    }
     add(FirErrors.REDUNDANT_VISIBILITY_MODIFIER) { firDiagnostic ->
         RedundantVisibilityModifierImpl(
             firDiagnostic as FirPsiDiagnostic,
diff --git a/idea/idea-frontend-fir/src/org/jetbrains/kotlin/idea/frontend/api/fir/diagnostics/KtFirDiagnostics.kt b/idea/idea-frontend-fir/src/org/jetbrains/kotlin/idea/frontend/api/fir/diagnostics/KtFirDiagnostics.kt
index 4f7a52ef261..2208aadb390 100644
--- a/idea/idea-frontend-fir/src/org/jetbrains/kotlin/idea/frontend/api/fir/diagnostics/KtFirDiagnostics.kt
+++ b/idea/idea-frontend-fir/src/org/jetbrains/kotlin/idea/frontend/api/fir/diagnostics/KtFirDiagnostics.kt
@@ -1757,6 +1757,11 @@ sealed class KtFirDiagnostic<PSI: PsiElement> : KtDiagnosticWithPsi<PSI> {
         override val diagnosticClass get() = RecursiveTypealiasExpansion::class
     }
 
+    abstract class TypealiasShouldExpandToClass : KtFirDiagnostic<KtElement>() {
+        override val diagnosticClass get() = TypealiasShouldExpandToClass::class
+        abstract val expandedType: KtType
+    }
+
     abstract class RedundantVisibilityModifier : KtFirDiagnostic<KtModifierListOwner>() {
         override val diagnosticClass get() = RedundantVisibilityModifier::class
     }
diff --git a/idea/idea-frontend-fir/src/org/jetbrains/kotlin/idea/frontend/api/fir/diagnostics/KtFirDiagnosticsImpl.kt b/idea/idea-frontend-fir/src/org/jetbrains/kotlin/idea/frontend/api/fir/diagnostics/KtFirDiagnosticsImpl.kt
index b4fed17713e..c141f3933d0 100644
--- a/idea/idea-frontend-fir/src/org/jetbrains/kotlin/idea/frontend/api/fir/diagnostics/KtFirDiagnosticsImpl.kt
+++ b/idea/idea-frontend-fir/src/org/jetbrains/kotlin/idea/frontend/api/fir/diagnostics/KtFirDiagnosticsImpl.kt
@@ -2841,6 +2841,14 @@ internal class RecursiveTypealiasExpansionImpl(
     override val firDiagnostic: FirPsiDiagnostic by weakRef(firDiagnostic)
 }
 
+internal class TypealiasShouldExpandToClassImpl(
+    override val expandedType: KtType,
+    firDiagnostic: FirPsiDiagnostic,
+    override val token: ValidityToken,
+) : KtFirDiagnostic.TypealiasShouldExpandToClass(), KtAbstractFirDiagnostic<KtElement> {
+    override val firDiagnostic: FirPsiDiagnostic by weakRef(firDiagnostic)
+}
+
 internal class RedundantVisibilityModifierImpl(
     firDiagnostic: FirPsiDiagnostic,
     override val token: ValidityToken,