diff --git a/src/dotty/tools/dotc/transform/ElimByName.scala b/src/dotty/tools/dotc/transform/ElimByName.scala
index e656c8438958..1d0307398fc3 100644
--- a/src/dotty/tools/dotc/transform/ElimByName.scala
+++ b/src/dotty/tools/dotc/transform/ElimByName.scala
@@ -76,16 +76,29 @@ class ElimByName extends MiniPhaseTransform with InfoTransformer { thisTransform
     cpy.Apply(tree)(tree.fun, args1)
   }
 
-  private def becomesFunction(symd: SymDenotation)(implicit ctx: Context) =
+  /** If denotation had an ExprType before, it now gets a function type */
+  private def exprBecomesFunction(symd: SymDenotation)(implicit ctx: Context) =
     (symd is Param) || (symd is (ParamAccessor, butNot = Method))
 
-  override def transformIdent(tree: Ident)(implicit ctx: Context, info: TransformerInfo): Tree = {
-    val origDenot = originalDenotation(tree)
-    if (becomesFunction(origDenot) && (origDenot.info.isInstanceOf[ExprType]))
+  /** Map `tree` to `tree.apply()` is `ftree` was of ExprType and becomes now a function */
+  private def applyIfFunction(tree: Tree, ftree: Tree)(implicit ctx: Context) = {
+    val origDenot = originalDenotation(ftree)
+    if (exprBecomesFunction(origDenot) && (origDenot.info.isInstanceOf[ExprType]))
       tree.select(defn.Function0_apply).appliedToNone
     else tree
   }
 
+  override def transformIdent(tree: Ident)(implicit ctx: Context, info: TransformerInfo): Tree =
+    applyIfFunction(tree, tree)
+
+  override def transformTypeApply(tree: TypeApply)(implicit ctx: Context, info: TransformerInfo): Tree = tree match {
+    case TypeApply(Select(_, nme.asInstanceOf_), arg :: Nil) =>
+      // tree might be of form e.asInstanceOf[x.type] where x becomes a function.
+      // See pos/t296.scala
+      applyIfFunction(tree, arg)
+    case _ => tree
+  }
+
   def elimByNameParams(tp: Type)(implicit ctx: Context): Type = tp match {
     case tp: PolyType =>
       tp.derivedPolyType(tp.paramNames, tp.paramBounds, elimByNameParams(tp.resultType))
@@ -102,6 +115,6 @@ class ElimByName extends MiniPhaseTransform with InfoTransformer { thisTransform
   }
 
   def transformInfo(tp: Type, sym: Symbol)(implicit ctx: Context): Type =
-    if (becomesFunction(sym)) transformParamInfo(tp)
+    if (exprBecomesFunction(sym)) transformParamInfo(tp)
     else elimByNameParams(tp)
 }
diff --git a/src/dotty/tools/dotc/transform/Erasure.scala b/src/dotty/tools/dotc/transform/Erasure.scala
index e99a3a91ce35..379a59c0bdd2 100644
--- a/src/dotty/tools/dotc/transform/Erasure.scala
+++ b/src/dotty/tools/dotc/transform/Erasure.scala
@@ -238,7 +238,7 @@ object Erasure extends TypeTestsCasts{
 
     override def promote(tree: untpd.Tree)(implicit ctx: Context): tree.ThisTree[Type] = {
       assert(tree.hasType)
-      val erased = erasedType(tree)(ctx.withPhase(ctx.erasurePhase))
+      val erased = erasedType(tree)
       ctx.log(s"promoting ${tree.show}: ${erased.showWithUnderlying()}")
       tree.withType(erased)
     }
diff --git a/src/dotty/tools/dotc/typer/TypeAssigner.scala b/src/dotty/tools/dotc/typer/TypeAssigner.scala
index 79d86de06789..ccf67b55b9ae 100644
--- a/src/dotty/tools/dotc/typer/TypeAssigner.scala
+++ b/src/dotty/tools/dotc/typer/TypeAssigner.scala
@@ -209,10 +209,11 @@ trait TypeAssigner {
 
   def assignType(tree: untpd.Literal)(implicit ctx: Context) =
     tree.withType {
-      tree.const.tag match {
+      val value = tree.const
+      value.tag match {
         case UnitTag => defn.UnitType
         case NullTag => defn.NullType
-        case _ => ConstantType(tree.const)
+        case _ => if (ctx.erasedTypes) value.tpe else ConstantType(value)
       }
     }
 
diff --git a/test/dotc/tests.scala b/test/dotc/tests.scala
index aa8cc05524d7..2816224f16d9 100644
--- a/test/dotc/tests.scala
+++ b/test/dotc/tests.scala
@@ -114,7 +114,7 @@ class tests extends CompilerTest {
   @Test def dotc_typer = compileDir(dotcDir + "tools/dotc/typer", twice)
   @Test def dotc_util = compileDir(dotcDir + "tools/dotc/util", twice)
   @Test def tools_io = compileDir(dotcDir + "tools/io", twice)
-  @Test def tools = compileDir(dotcDir + "tools", twice)(allowDeepSubtypes)
+  @Test def tools = compileDir(dotcDir + "tools", "-deep" :: twice)(allowDeepSubtypes)
 
   @Test def testNonCyclic = compileArgs(Array(
       dotcDir + "tools/dotc/CompilationUnit.scala",
diff --git a/test/test/CompilerTest.scala b/test/test/CompilerTest.scala
index f5b13845434c..c9c7c602bdea 100644
--- a/test/test/CompilerTest.scala
+++ b/test/test/CompilerTest.scala
@@ -24,8 +24,12 @@ class CompilerTest extends DottyTest {
     compileDir(Directory(path), args, xerrors)
 
   def compileDir(dir: Directory, args: List[String], xerrors: Int)(implicit defaultOptions: List[String]): Unit = {
-    val fileNames = dir.deepFiles.toArray.map(_.toString).filter(_ endsWith ".scala")
-    compileArgs(fileNames ++ args, xerrors)
+    val (files, normArgs) = args match {
+      case "-deep" :: args1 => (dir.deepFiles, args1)
+      case _ => (dir.files, args)
+    }
+    val fileNames = files.toArray.map(_.toString).filter(_ endsWith ".scala")
+    compileArgs(fileNames ++ normArgs, xerrors)
   }
 
   def compileFiles(path: String, args: List[String] = Nil)(implicit defaultOptions: List[String]): Unit = {
diff --git a/tests/neg/t7093-generics-encoding.scala b/tests/neg/t7093-generics-encoding.scala
new file mode 100644
index 000000000000..cea106668f08
--- /dev/null
+++ b/tests/neg/t7093-generics-encoding.scala
@@ -0,0 +1,34 @@
+// Encoding with type fields of the
+// variance test in pos. This time, the
+// test does not pass because of the encoding
+// This points to a difference between type members
+// and parameters which we should investigate further.
+object Test2 {
+
+  trait A {
+    type X
+    protected[this] def f(x: X): X = x
+  }
+
+  trait B extends A {
+    type X <: B
+    def kaboom = f(new B {})
+  }
+
+// protected[this] disables variance checking
+// of the signature of `f`.
+//
+// C's parent list unifies A[B] with A[C]
+//
+// The protected[this] loophole is widely used
+// in the collections, every newBuilder method
+// would fail variance checking otherwise.
+  class C extends B with A {
+    type X <: C
+    override protected[this] def f(c: C) = c
+  }
+
+// java.lang.ClassCastException: B$$anon$1 cannot be cast to C
+//  at C.f(<console>:15)
+  new C().kaboom
+}
diff --git a/tests/neg/t7093.scala b/tests/neg/t7093.scala
new file mode 100644
index 000000000000..0cf0c658d663
--- /dev/null
+++ b/tests/neg/t7093.scala
@@ -0,0 +1,13 @@
+
+object Test2 {
+
+  trait A {
+    type X
+    protected[this] def f(x: X): X = x
+  }
+
+  trait B extends A {
+    type X <: B
+    def kaboom = f(new B {})
+  }
+}
diff --git a/tests/pending/pos/test.scala b/tests/pending/pos/test.scala
new file mode 100644
index 000000000000..8139ed3d914f
--- /dev/null
+++ b/tests/pending/pos/test.scala
@@ -0,0 +1,12 @@
+object Test {
+
+  object returns {
+
+    def foo(x: Int): Int = {
+      return 3
+    }
+  }
+
+}
+
+
diff --git a/tests/pos/test.scala b/tests/pos/test.scala
new file mode 100644
index 000000000000..454686c3d7a7
--- /dev/null
+++ b/tests/pos/test.scala
@@ -0,0 +1,5 @@
+object Test {
+
+  def foo(x: Int): Int = return 3
+
+}
diff --git a/tests/pos/trees.scala b/tests/pos/trees.scala
new file mode 100644
index 000000000000..27785d248029
--- /dev/null
+++ b/tests/pos/trees.scala
@@ -0,0 +1,5 @@
+class Tree[T]
+
+class Empty[T] extends Tree[Nothing]
+class Node[T](elem: T, l: Tree[T], r: Tree[T])
+