diff --git a/json/src/com/intellij/json/editor/JsonTypedHandler.java b/json/src/com/intellij/json/editor/JsonTypedHandler.java
index 25965c2ea740..10e6804f8ae2 100644
--- a/json/src/com/intellij/json/editor/JsonTypedHandler.java
+++ b/json/src/com/intellij/json/editor/JsonTypedHandler.java
@@ -11,25 +11,42 @@ import com.intellij.openapi.editor.Editor;
 import com.intellij.openapi.fileTypes.FileType;
 import com.intellij.openapi.project.Project;
 import com.intellij.openapi.util.text.StringUtil;
-import com.intellij.psi.PsiDocumentManager;
-import com.intellij.psi.PsiElement;
-import com.intellij.psi.PsiErrorElement;
-import com.intellij.psi.PsiFile;
+import com.intellij.psi.*;
 import com.intellij.psi.tree.TokenSet;
 import com.intellij.psi.util.PsiTreeUtil;
 import org.jetbrains.annotations.NotNull;
 
 public class JsonTypedHandler extends TypedHandlerDelegate {
+
+  private boolean myWhitespaceAdded;
+
   @NotNull
   @Override
   public Result charTyped(char c, @NotNull Project project, @NotNull Editor editor, @NotNull PsiFile file) {
     if (file instanceof JsonFile) {
       processPairedBracesComma(c, editor, file);
       addWhiteSpaceAfterColonIfNeeded(c, editor, file);
+      removeRedundantWhitespaceIfAfterColon(c, editor, file);
     }
     return Result.CONTINUE;
   }
 
+  private void removeRedundantWhitespaceIfAfterColon(char c, Editor editor, PsiFile file) {
+    if (!myWhitespaceAdded || c != ' ' || !JsonEditorOptions.getInstance().AUTO_WHITESPACE_AFTER_COLON) {
+      if (c != ':') {
+        myWhitespaceAdded = false;
+      }
+      return;
+    }
+    int offset = editor.getCaretModel().getOffset();
+    PsiDocumentManager.getInstance(file.getProject()).commitDocument(editor.getDocument());
+    final PsiElement element = file.findElementAt(offset);
+    if (element instanceof PsiWhiteSpace) {
+      editor.getDocument().deleteString(offset - 1, offset);
+    }
+    myWhitespaceAdded = false;
+  }
+
   @NotNull
   @Override
   public Result beforeCharTyped(char c,
@@ -43,16 +60,27 @@ public class JsonTypedHandler extends TypedHandlerDelegate {
     return Result.CONTINUE;
   }
 
-  private static void addWhiteSpaceAfterColonIfNeeded(char c,
-                                                      @NotNull Editor editor,
-                                                      @NotNull PsiFile file) {
-    if (c != ':' || !JsonEditorOptions.getInstance().AUTO_WHITESPACE_AFTER_COLON) return;
+  private void addWhiteSpaceAfterColonIfNeeded(char c,
+                                               @NotNull Editor editor,
+                                               @NotNull PsiFile file) {
+    if (c != ':' || !JsonEditorOptions.getInstance().AUTO_WHITESPACE_AFTER_COLON) {
+      if (c != ' ') {
+        myWhitespaceAdded = false;
+      }
+      return;
+    }
     int offset = editor.getCaretModel().getOffset();
     PsiDocumentManager.getInstance(file.getProject()).commitDocument(editor.getDocument());
     PsiElement element = PsiTreeUtil.getParentOfType(PsiTreeUtil.skipWhitespacesBackward(file.findElementAt(offset)), JsonProperty.class, false);
-    if (element == null) return;
+    if (element == null) {
+      myWhitespaceAdded = false;
+      return;
+    }
     final ASTNode[] children = element.getNode().getChildren(TokenSet.create(JsonElementTypes.COLON));
-    if (children.length == 0) return;
+    if (children.length == 0) {
+      myWhitespaceAdded = false;
+      return;
+    }
     final ASTNode colon = children[0];
     final ASTNode next = colon.getTreeNext();
     final String text = next.getText();
@@ -60,6 +88,10 @@ public class JsonTypedHandler extends TypedHandlerDelegate {
       final int insOffset = colon.getStartOffset() + 1;
       editor.getDocument().insertString(insOffset, " ");
       editor.getCaretModel().moveToOffset(insOffset + 1);
+      myWhitespaceAdded = true;
+    }
+    else {
+      myWhitespaceAdded = false;
     }
   }
 
diff --git a/json/tests/test/com/intellij/json/JsonTypingHandlingTest.java b/json/tests/test/com/intellij/json/JsonTypingHandlingTest.java
index 70007d9d49e0..7851950742d6 100644
--- a/json/tests/test/com/intellij/json/JsonTypingHandlingTest.java
+++ b/json/tests/test/com/intellij/json/JsonTypingHandlingTest.java
@@ -89,4 +89,13 @@ public class JsonTypingHandlingTest extends JsonTestCase {
                 " \"q\": 8\n" +
                 "}");
   }
+
+  public void testAutoWhitespaceErasure() {
+    myFixture.configureByText("test.json", "{a<caret>}");
+    myFixture.type(":");
+    myFixture.type(" ");
+    myFixture.checkResult("{\n" +
+                          "  \"a\": <caret>\n" +
+                          "}");
+  }
 }