diff --git a/libraries/tools/kotlin-annotation-processing/src/main/kotlin/org/jetbrains/kotlin/annotation/AnnotationProcessorWrapper.kt b/libraries/tools/kotlin-annotation-processing/src/main/kotlin/org/jetbrains/kotlin/annotation/AnnotationProcessorWrapper.kt
index 2b6fae96b1c..dec2c68a12c 100644
--- a/libraries/tools/kotlin-annotation-processing/src/main/kotlin/org/jetbrains/kotlin/annotation/AnnotationProcessorWrapper.kt
+++ b/libraries/tools/kotlin-annotation-processing/src/main/kotlin/org/jetbrains/kotlin/annotation/AnnotationProcessorWrapper.kt
@@ -16,6 +16,7 @@
 
 package org.jetbrains.kotlin.annotation
 
+import java.io.File
 import java.io.IOException
 import javax.annotation.processing.*
 import javax.lang.model.SourceVersion
@@ -43,6 +44,10 @@ public abstract class AnnotationProcessorWrapper(
         private val taskQualifier: String
 ) : Processor {
 
+    private companion object {
+        val KAPT_ANNOTATION_OPTION = "kapt.annotations"
+    }
+
     private val processor: Processor by Delegates.lazy {
         try {
             val instance = Class.forName(processorFqName).newInstance() as? Processor
@@ -76,12 +81,16 @@ public abstract class AnnotationProcessorWrapper(
             return
         }
 
-        try {
-            val annotationsTxt = processingEnv.getFiler().getResource(StandardLocation.CLASS_PATH, "", "annotations.$taskQualifier.txt")
-            kotlinAnnotationsProvider = FileObjectKotlinAnnotationProvider(annotationsTxt)
-        } catch (e: IOException) {
-            kotlinAnnotationsProvider = EmptyKotlinAnnotationsProvider()
+        val annotationsFile = processingEnv.getOptions().get(KAPT_ANNOTATION_OPTION)
+        if (annotationsFile != null) {
+            try {
+                kotlinAnnotationsProvider = FileKotlinAnnotationProvider(File(annotationsFile))
+            }
+            catch (e: IOException) {
+                kotlinAnnotationsProvider = EmptyKotlinAnnotationsProvider()
+            }
         }
+        else kotlinAnnotationsProvider = EmptyKotlinAnnotationsProvider()
 
         processor.init(processingEnv)
     }
@@ -106,7 +115,9 @@ public abstract class AnnotationProcessorWrapper(
     }
 
     override fun getSupportedOptions(): MutableSet<String> {
-        return processor.getSupportedOptions()
+        val supportedOptions = processor.getSupportedOptions().toHashSet()
+        supportedOptions.add(KAPT_ANNOTATION_OPTION)
+        return supportedOptions
     }
 
     private fun ProcessingEnvironment.err(message: String) {
diff --git a/libraries/tools/kotlin-annotation-processing/src/main/kotlin/org/jetbrains/kotlin/annotation/KotlinAnnotationProvider.kt b/libraries/tools/kotlin-annotation-processing/src/main/kotlin/org/jetbrains/kotlin/annotation/KotlinAnnotationProvider.kt
index 02600cd64f9..d4b44b19089 100644
--- a/libraries/tools/kotlin-annotation-processing/src/main/kotlin/org/jetbrains/kotlin/annotation/KotlinAnnotationProvider.kt
+++ b/libraries/tools/kotlin-annotation-processing/src/main/kotlin/org/jetbrains/kotlin/annotation/KotlinAnnotationProvider.kt
@@ -16,6 +16,9 @@
 
 package org.jetbrains.kotlin.annotation
 
+import java.io.File
+import java.io.Reader
+import java.io.StringReader
 import javax.tools.FileObject
 import kotlin.properties.Delegates
 
@@ -34,7 +37,7 @@ public abstract class KotlinAnnotationProvider {
         readAnnotations()
     }
 
-    protected abstract val serializedAnnotations: String
+    protected abstract val serializedAnnotations: Reader
 
     private fun readAnnotations(): MutableMap<String, MutableSet<AnnotatedElementDescriptor>> {
         val shortenedAnnotationCache = hashMapOf<String, String>()
@@ -53,40 +56,42 @@ public abstract class KotlinAnnotationProvider {
 
         val annotatedKotlinElements: MutableMap<String, MutableSet<AnnotatedElementDescriptor>> = hashMapOf()
 
-        for (line in serializedAnnotations.lines()) {
-            if (line.isEmpty()) continue
-            val lineParts = line.split(' ')
+        serializedAnnotations.useLines { lines ->
+            for (line in lines) {
+                if (line.isEmpty()) continue
+                val lineParts = line.split(' ')
 
-            val type = lineParts[0]
-            when (type) {
-                SHORTENED_ANNOTATION -> handleShortenedName(shortenedAnnotationCache, lineParts)
-                SHORTENED_PACKAGE_NAME -> handleShortenedName(shortenedPackageNameCache, lineParts)
+                val type = lineParts[0]
+                when (type) {
+                    SHORTENED_ANNOTATION -> handleShortenedName(shortenedAnnotationCache, lineParts)
+                    SHORTENED_PACKAGE_NAME -> handleShortenedName(shortenedPackageNameCache, lineParts)
 
-                ANNOTATED_CLASS, ANNOTATED_FIELD, ANNOTATED_METHOD -> {
-                    val annotationName = expandAnnotation(lineParts[1])
-                    val classFqName = expandClassName(lineParts[2]).replace('$', '.')
-                    val elementName = if (lineParts.size() == 4) lineParts[3] else null
+                    ANNOTATED_CLASS, ANNOTATED_FIELD, ANNOTATED_METHOD -> {
+                        val annotationName = expandAnnotation(lineParts[1])
+                        val classFqName = expandClassName(lineParts[2]).replace('$', '.')
+                        val elementName = if (lineParts.size() == 4) lineParts[3] else null
 
-                    val set = annotatedKotlinElements.getOrPut(annotationName) { hashSetOf() }
-                    set.add(when (type) {
-                        ANNOTATED_CLASS -> AnnotatedClassDescriptor(classFqName)
-                        ANNOTATED_FIELD -> {
-                            val name = elementName ?: throw AssertionError("Name for field must be provided")
-                            AnnotatedFieldDescriptor(classFqName, name)
-                        }
-                        ANNOTATED_METHOD -> {
-                            val name = elementName ?: throw AssertionError("Name for method must be provided")
+                        val set = annotatedKotlinElements.getOrPut(annotationName) { hashSetOf() }
+                        set.add(when (type) {
+                            ANNOTATED_CLASS -> AnnotatedClassDescriptor(classFqName)
+                            ANNOTATED_FIELD -> {
+                                val name = elementName ?: throw AssertionError("Name for field must be provided")
+                                AnnotatedFieldDescriptor(classFqName, name)
+                            }
+                            ANNOTATED_METHOD -> {
+                                val name = elementName ?: throw AssertionError("Name for method must be provided")
 
-                            if ("<init>" == name)
-                                AnnotatedConstructorDescriptor(classFqName)
-                            else
-                                AnnotatedMethodDescriptor(classFqName, name)
-                        }
-                        else -> throw AssertionError("Unknown type: $type")
-                    })
+                                if ("<init>" == name)
+                                    AnnotatedConstructorDescriptor(classFqName)
+                                else
+                                    AnnotatedMethodDescriptor(classFqName, name)
+                            }
+                            else -> throw AssertionError("Unknown type: $type")
+                        })
 
+                    }
+                    else -> throw AssertionError("Unknown type: $type")
                 }
-                else -> throw AssertionError("Unknown type: $type")
             }
         }
 
@@ -101,11 +106,11 @@ public abstract class KotlinAnnotationProvider {
 
 }
 
-public class FileObjectKotlinAnnotationProvider(val annotationsFileObject: FileObject): KotlinAnnotationProvider() {
-    override val serializedAnnotations: String
-        get() = annotationsFileObject.getCharContent(false).toString()
+public class FileKotlinAnnotationProvider(val annotationsFile: File): KotlinAnnotationProvider() {
+    override val serializedAnnotations: Reader
+        get() = annotationsFile.reader().buffered()
 }
 
 public class EmptyKotlinAnnotationsProvider : KotlinAnnotationProvider() {
-    override val serializedAnnotations = ""
+    override val serializedAnnotations = StringReader("")
 }
\ No newline at end of file
diff --git a/libraries/tools/kotlin-annotation-processing/src/test/kotlin/org/jetbrains/kotlin/annotation/AnnotationListParseTest.kt b/libraries/tools/kotlin-annotation-processing/src/test/kotlin/org/jetbrains/kotlin/annotation/AnnotationListParseTest.kt
index 7337969ae1f..b7565f2628b 100644
--- a/libraries/tools/kotlin-annotation-processing/src/test/kotlin/org/jetbrains/kotlin/annotation/AnnotationListParseTest.kt
+++ b/libraries/tools/kotlin-annotation-processing/src/test/kotlin/org/jetbrains/kotlin/annotation/AnnotationListParseTest.kt
@@ -80,9 +80,4 @@ public class AnnotationListParseTest {
         assertEquals(expectedText, actualText)
     }
 
-    public class FileKotlinAnnotationProvider(val annotationsFile: File): KotlinAnnotationProvider() {
-        override val serializedAnnotations: String
-            get() = annotationsFile.readText()
-    }
-
 }
\ No newline at end of file
diff --git a/libraries/tools/kotlin-gradle-plugin/src/main/kotlin/org/jetbrains/kotlin/gradle/internal/AnnotationProcessingManager.kt b/libraries/tools/kotlin-gradle-plugin/src/main/kotlin/org/jetbrains/kotlin/gradle/internal/AnnotationProcessingManager.kt
index 2be44215c79..8d19b4843d5 100644
--- a/libraries/tools/kotlin-gradle-plugin/src/main/kotlin/org/jetbrains/kotlin/gradle/internal/AnnotationProcessingManager.kt
+++ b/libraries/tools/kotlin-gradle-plugin/src/main/kotlin/org/jetbrains/kotlin/gradle/internal/AnnotationProcessingManager.kt
@@ -50,7 +50,7 @@ public class AnnotationProcessingManager(
     }
 
     fun getAnnotationFile(): File {
-        aptWorkingDir.mkdirs()
+        if (!aptWorkingDir.exists()) aptWorkingDir.mkdirs()
         return File(aptWorkingDir, "$WRAPPERS_DIRECTORY/annotations.$taskQualifier.txt")
     }
 
@@ -72,6 +72,7 @@ public class AnnotationProcessingManager(
 
         addGeneratedSourcesOutputToCompilerArgs(javaTask, aptOutputDir)
 
+        appendAnnotationsFileLocationArgument()
         appendAdditionalComplerArgs()
     }
 
@@ -99,6 +100,12 @@ public class AnnotationProcessingManager(
         javaTask.source(javaAptSourceDir)
     }
 
+    private fun appendAnnotationsFileLocationArgument() {
+        javaTask.modifyCompilerArguments { list ->
+            list.add("-Akapt.annotations=" + getAnnotationFile())
+        }
+    }
+
     private fun appendAdditionalComplerArgs() {
         val kaptExtension = project.getExtensions().getByType(javaClass<KaptExtension>())
         val args = kaptExtension.getAdditionalArguments(project, androidVariant, getAndroidExtension())