diff --git a/compiler/frontend/src/org/jetbrains/kotlin/extensions/AnnotationBasedExtension.kt b/compiler/frontend/src/org/jetbrains/kotlin/extensions/AnnotationBasedExtension.kt
index bdcf687ffcc..1236a8d9c61 100644
--- a/compiler/frontend/src/org/jetbrains/kotlin/extensions/AnnotationBasedExtension.kt
+++ b/compiler/frontend/src/org/jetbrains/kotlin/extensions/AnnotationBasedExtension.kt
@@ -41,19 +41,26 @@ interface AnnotationBasedExtension {
 
     private fun AnnotationDescriptor.isASpecialAnnotation(
             modifierListOwner: KtModifierListOwner?,
+            visitedAnnotations: MutableSet<String> = hashSetOf(),
             allowMetaAnnotations: Boolean = true
     ): Boolean {
         val annotationType = type.constructor.declarationDescriptor ?: return false
-        if (annotationType.fqNameSafe.asString() in getAnnotationFqNames(modifierListOwner)) return true
+        val annotationFqName = annotationType.fqNameSafe.asString()
+        if (annotationFqName in visitedAnnotations) return false // Prevent infinite recursion
+        if (annotationFqName in getAnnotationFqNames(modifierListOwner)) return true
+
+        visitedAnnotations.add(annotationFqName)
 
         if (allowMetaAnnotations) {
             for (metaAnnotation in annotationType.annotations) {
-                if (metaAnnotation.isASpecialAnnotation(modifierListOwner, allowMetaAnnotations = false)) {
+                if (metaAnnotation.isASpecialAnnotation(modifierListOwner, visitedAnnotations, allowMetaAnnotations = true)) {
                     return true
                 }
             }
         }
 
+        visitedAnnotations.remove(annotationFqName)
+
         return false
     }
 }
\ No newline at end of file
diff --git a/plugins/allopen/allopen-cli/testData/bytecodeListing/metaAnnotation.kt b/plugins/allopen/allopen-cli/testData/bytecodeListing/metaAnnotation.kt
index 078b1c26757..75b6a42e42b 100644
--- a/plugins/allopen/allopen-cli/testData/bytecodeListing/metaAnnotation.kt
+++ b/plugins/allopen/allopen-cli/testData/bytecodeListing/metaAnnotation.kt
@@ -3,11 +3,20 @@ annotation class AllOpen
 @AllOpen
 annotation class MyComponent
 
-@MyComponent // Double-transitive annotations is not supported
+@MyComponent // Double-transitive annotations is supported
 annotation class OtherComponent
 
+@OtherComponent
+annotation class AnotherComponent
+
+@java.lang.annotation.Documented
+annotation class Documented
+
 class TestWithoutAnnotations_ShouldBeFinal
 
+@Documented
+class ClassWithDocumented
+
 @AllOpen
 class TestAllOpen_ShouldBeOpen
 
@@ -15,7 +24,10 @@ class TestAllOpen_ShouldBeOpen
 class TestMyComponent_ShouldBeOpen
 
 @OtherComponent
-class TestOtherComponent_ShouldBeFinal
+class TestOtherComponent_ShouldBeOpen
+
+@AnotherComponent
+class TestAnotherComponent_ShouldBeOpen
 
 @MyComponent
 abstract class MyComponentBase
diff --git a/plugins/allopen/allopen-cli/testData/bytecodeListing/metaAnnotation.txt b/plugins/allopen/allopen-cli/testData/bytecodeListing/metaAnnotation.txt
index 71d36becf07..49f6038b091 100644
--- a/plugins/allopen/allopen-cli/testData/bytecodeListing/metaAnnotation.txt
+++ b/plugins/allopen/allopen-cli/testData/bytecodeListing/metaAnnotation.txt
@@ -2,6 +2,22 @@
 @kotlin.Metadata
 public annotation class AllOpen
 
+@OtherComponent
+@java.lang.annotation.Retention
+@kotlin.Metadata
+public annotation class AnotherComponent
+
+@Documented
+@kotlin.Metadata
+public final class ClassWithDocumented {
+    public method <init>(): void
+}
+
+@java.lang.annotation.Documented
+@java.lang.annotation.Retention
+@kotlin.Metadata
+public annotation class Documented
+
 @AllOpen
 @java.lang.annotation.Retention
 @kotlin.Metadata
@@ -42,6 +58,12 @@ public class TestAllOpen_ShouldBeOpen {
     public method <init>(): void
 }
 
+@AnotherComponent
+@kotlin.Metadata
+public class TestAnotherComponent_ShouldBeOpen {
+    public method <init>(): void
+}
+
 @MyComponent
 @kotlin.Metadata
 public class TestMyComponent_ShouldBeOpen {
@@ -50,7 +72,7 @@ public class TestMyComponent_ShouldBeOpen {
 
 @OtherComponent
 @kotlin.Metadata
-public final class TestOtherComponent_ShouldBeFinal {
+public class TestOtherComponent_ShouldBeOpen {
     public method <init>(): void
 }