diff --git a/compiler/fir/resolve/tests/org/jetbrains/kotlin/fir/FirOldFrontendDiagnosticsTestGenerated.java b/compiler/fir/resolve/tests/org/jetbrains/kotlin/fir/FirOldFrontendDiagnosticsTestGenerated.java
index ea1fc8948c2..5fa496e087c 100644
--- a/compiler/fir/resolve/tests/org/jetbrains/kotlin/fir/FirOldFrontendDiagnosticsTestGenerated.java
+++ b/compiler/fir/resolve/tests/org/jetbrains/kotlin/fir/FirOldFrontendDiagnosticsTestGenerated.java
@@ -2410,6 +2410,11 @@ public class FirOldFrontendDiagnosticsTestGenerated extends AbstractFirOldFronte
                 runTest("compiler/testData/diagnostics/tests/callableReference/property/extensionPropertyOnNullable.kt");
             }
 
+            @TestMetadata("extensionsSameName.kt")
+            public void testExtensionsSameName() throws Exception {
+                runTest("compiler/testData/diagnostics/tests/callableReference/property/extensionsSameName.kt");
+            }
+
             @TestMetadata("genericClass.kt")
             public void testGenericClass() throws Exception {
                 runTest("compiler/testData/diagnostics/tests/callableReference/property/genericClass.kt");
diff --git a/compiler/resolution/src/org/jetbrains/kotlin/resolve/calls/components/PostponeArgumentsChecks.kt b/compiler/resolution/src/org/jetbrains/kotlin/resolve/calls/components/PostponeArgumentsChecks.kt
index b378e512fdf..89bf0f48891 100644
--- a/compiler/resolution/src/org/jetbrains/kotlin/resolve/calls/components/PostponeArgumentsChecks.kt
+++ b/compiler/resolution/src/org/jetbrains/kotlin/resolve/calls/components/PostponeArgumentsChecks.kt
@@ -191,8 +191,8 @@ private fun ConstraintSystemBuilder.addConstraintFromLHS(lhsResult: LHSResult.Ty
 
     when (expectedTypeProjectionForLHS.projectionKind) {
         Variance.INVARIANT -> addEqualityConstraint(lhsType, expectedTypeForLHS, constraintPosition)
-        Variance.IN_VARIANCE -> addSubtypeConstraint(expectedType, lhsType, constraintPosition)
-        Variance.OUT_VARIANCE -> addSubtypeConstraint(lhsType, expectedType, constraintPosition)
+        Variance.IN_VARIANCE -> addSubtypeConstraint(expectedTypeForLHS, lhsType, constraintPosition)
+        Variance.OUT_VARIANCE -> addSubtypeConstraint(lhsType, expectedTypeForLHS, constraintPosition)
     }
 }
 
@@ -207,4 +207,4 @@ private fun preprocessCollectionLiteralArgument(
 internal inline fun <reified T : Any> Any.requireIs(): T {
     require(this is T)
     return this
-}
\ No newline at end of file
+}
diff --git a/compiler/testData/diagnostics/tests/callableReference/property/extensionsSameName.fir.kt b/compiler/testData/diagnostics/tests/callableReference/property/extensionsSameName.fir.kt
new file mode 100644
index 00000000000..bc4cf86bfff
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/callableReference/property/extensionsSameName.fir.kt
@@ -0,0 +1,14 @@
+// SKIP_TXT
+// !LANGUAGE: +NewInference
+// !DIAGNOSTICS: -UNUSED_PARAMETER
+
+fun check1(p: kotlin.reflect.KProperty1<*, *>) {}
+fun check2(p: kotlin.reflect.KProperty1<in String, *>) {}
+
+val CharSequence.x: Any get() = this
+val BooleanArray.x: Any get() = this
+
+fun box() {
+    check1(CharSequence::x) // error in NI, ok in OI
+    check2(CharSequence::x)
+}
diff --git a/compiler/testData/diagnostics/tests/callableReference/property/extensionsSameName.kt b/compiler/testData/diagnostics/tests/callableReference/property/extensionsSameName.kt
new file mode 100644
index 00000000000..bc4cf86bfff
--- /dev/null
+++ b/compiler/testData/diagnostics/tests/callableReference/property/extensionsSameName.kt
@@ -0,0 +1,14 @@
+// SKIP_TXT
+// !LANGUAGE: +NewInference
+// !DIAGNOSTICS: -UNUSED_PARAMETER
+
+fun check1(p: kotlin.reflect.KProperty1<*, *>) {}
+fun check2(p: kotlin.reflect.KProperty1<in String, *>) {}
+
+val CharSequence.x: Any get() = this
+val BooleanArray.x: Any get() = this
+
+fun box() {
+    check1(CharSequence::x) // error in NI, ok in OI
+    check2(CharSequence::x)
+}
diff --git a/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestGenerated.java b/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestGenerated.java
index 8e8905a24c8..20b085fad8f 100644
--- a/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestGenerated.java
+++ b/compiler/tests/org/jetbrains/kotlin/checkers/DiagnosticsTestGenerated.java
@@ -2417,6 +2417,11 @@ public class DiagnosticsTestGenerated extends AbstractDiagnosticsTest {
                     runTest("compiler/testData/diagnostics/tests/callableReference/property/extensionPropertyOnNullable.kt");
                 }
 
+                @TestMetadata("extensionsSameName.kt")
+                public void testExtensionsSameName() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/callableReference/property/extensionsSameName.kt");
+                }
+
                 @TestMetadata("genericClass.kt")
                 public void testGenericClass() throws Exception {
                     runTest("compiler/testData/diagnostics/tests/callableReference/property/genericClass.kt");
diff --git a/compiler/tests/org/jetbrains/kotlin/checkers/javac/DiagnosticsUsingJavacTestGenerated.java b/compiler/tests/org/jetbrains/kotlin/checkers/javac/DiagnosticsUsingJavacTestGenerated.java
index 6a20b1e4197..8112c44c33a 100644
--- a/compiler/tests/org/jetbrains/kotlin/checkers/javac/DiagnosticsUsingJavacTestGenerated.java
+++ b/compiler/tests/org/jetbrains/kotlin/checkers/javac/DiagnosticsUsingJavacTestGenerated.java
@@ -2412,6 +2412,11 @@ public class DiagnosticsUsingJavacTestGenerated extends AbstractDiagnosticsUsing
                     runTest("compiler/testData/diagnostics/tests/callableReference/property/extensionPropertyOnNullable.kt");
                 }
 
+                @TestMetadata("extensionsSameName.kt")
+                public void testExtensionsSameName() throws Exception {
+                    runTest("compiler/testData/diagnostics/tests/callableReference/property/extensionsSameName.kt");
+                }
+
                 @TestMetadata("genericClass.kt")
                 public void testGenericClass() throws Exception {
                     runTest("compiler/testData/diagnostics/tests/callableReference/property/genericClass.kt");