diff --git a/plugins/kotlin/frontend-independent/src/org/jetbrains/kotlin/idea/quickfix/RemovePsiElementSimpleFix.kt b/plugins/kotlin/frontend-independent/src/org/jetbrains/kotlin/idea/quickfix/RemovePsiElementSimpleFix.kt
index f15f1bbba605..241613207d30 100644
--- a/plugins/kotlin/frontend-independent/src/org/jetbrains/kotlin/idea/quickfix/RemovePsiElementSimpleFix.kt
+++ b/plugins/kotlin/frontend-independent/src/org/jetbrains/kotlin/idea/quickfix/RemovePsiElementSimpleFix.kt
@@ -12,7 +12,7 @@ import com.intellij.psi.PsiElement
 import org.jetbrains.annotations.Nls
 import org.jetbrains.kotlin.idea.KotlinBundle
 import org.jetbrains.kotlin.idea.util.CommentSaver
-import org.jetbrains.kotlin.idea.util.hasRedundantTypeSpecification
+import org.jetbrains.kotlin.idea.util.isExplicitTypeReferenceNeededForTypeInference
 import org.jetbrains.kotlin.lexer.KtTokens
 import org.jetbrains.kotlin.psi.*
 import org.jetbrains.kotlin.psi.psiUtil.getNonStrictParentOfType
@@ -67,23 +67,23 @@ open class RemovePsiElementSimpleFix private constructor(element: PsiElement, @N
     object RemoveVariableFactory : QuickFixesPsiBasedFactory<PsiElement>(PsiElement::class, PsiElementSuitabilityCheckers.ALWAYS_SUITABLE) {
         public override fun doCreateQuickFix(psiElement: PsiElement): List<IntentionAction> {
             if (psiElement is KtDestructuringDeclarationEntry) return emptyList()
-            val expression = psiElement.getNonStrictParentOfType<KtProperty>() ?: return emptyList()
-            if (!hasRedundantTypeSpecification(expression.typeReference, expression.initializer)) return emptyList()
+            val ktProperty = psiElement.getNonStrictParentOfType<KtProperty>() ?: return emptyList()
+            if (ktProperty.isExplicitTypeReferenceNeededForTypeInference()) return emptyList()
             return listOf(RemoveVariableFix(expression))
         }
     }
 
     class RemoveVariableFix(expression: KtProperty) :
-        RemovePsiElementSimpleFix(expression, KotlinBundle.message("remove.variable.0", expression.name.toString())) {
+        RemovePsiElementSimpleFix(expression, KotlinBundle.message("remove.variable.0", ktProperty.name.toString())) {
         override fun invoke(project: Project, editor: Editor?, file: KtFile) {
-            val expression = element as? KtProperty ?: return
-            val initializer = expression.initializer
+            val ktProperty = element as? KtProperty ?: return
+            val initializer = ktProperty.initializer
             if (initializer != null && initializer !is KtConstantExpression) {
-                val commentSaver = CommentSaver(expression)
-                val replaced = expression.replace(initializer)
+                val commentSaver = CommentSaver(ktProperty)
+                val replaced = ktProperty.replace(initializer)
                 commentSaver.restore(replaced)
             } else {
-                expression.delete()
+                ktProperty.delete()
             }
         }
     }
diff --git a/plugins/kotlin/frontend-independent/src/org/jetbrains/kotlin/idea/util/psiUtils.kt b/plugins/kotlin/frontend-independent/src/org/jetbrains/kotlin/idea/util/psiUtils.kt
index 4dc8cee2b080..1edc7f21d1e3 100644
--- a/plugins/kotlin/frontend-independent/src/org/jetbrains/kotlin/idea/util/psiUtils.kt
+++ b/plugins/kotlin/frontend-independent/src/org/jetbrains/kotlin/idea/util/psiUtils.kt
@@ -180,26 +180,32 @@ fun generateWhenBranches(element: KtWhenExpression, missingCases: List<WhenMissi
     }
 }
 
-tailrec fun hasRedundantTypeSpecification(typeReference: KtTypeReference?, initializer: KtExpression?): Boolean {
-    if (initializer == null || typeReference == null) return true
-    if (initializer !is KtLambdaExpression && initializer !is KtNamedFunction) return true
-    val typeElement = typeReference.typeElement ?: return true
-    if (typeReference.hasModifier(KtTokens.SUSPEND_KEYWORD)) return false
+/**
+ * Consider a property initialization `val f: (Int) -> Unit = { println(it) }`. The type annotation `(Int) -> Unit` in this case is required
+ * in order for the code to type check because otherwise the compiler cannot infer the type of `it`.
+ */
+tailrec fun KtCallableDeclaration.isExplicitTypeReferenceNeededForTypeInference(typeRef: KtTypeReference? = typeReference): Boolean {
+    if (this !is KtDeclarationWithInitializer) return false
+    val initializer = initializer
+    if (initializer == null || typeRef == null) return false
+    if (initializer !is KtLambdaExpression && initializer !is KtNamedFunction) return false
+    val typeElement = typeRef.typeElement ?: return false
+    if (typeRef.hasModifier(KtTokens.SUSPEND_KEYWORD)) return true
     return when (typeElement) {
         is KtFunctionType -> {
-            if (typeElement.receiver != null) return false
-            if (typeElement.parameters.isEmpty()) return true
+            if (typeElement.receiver != null) return true
+            if (typeElement.parameters.isEmpty()) return false
             val valueParameters = when (initializer) {
                 is KtLambdaExpression -> initializer.valueParameters
                 is KtNamedFunction -> initializer.valueParameters
                 else -> emptyList()
             }
-            valueParameters.isNotEmpty() && valueParameters.none { it.typeReference == null }
+            valueParameters.isEmpty() || valueParameters.any { it.typeReference == null }
         }
         is KtUserType -> {
-            val typeAlias = typeElement.referenceExpression?.mainReference?.resolve() as? KtTypeAlias ?: return true
-            return hasRedundantTypeSpecification(typeAlias.getTypeReference(), initializer)
+            val typeAlias = typeElement.referenceExpression?.mainReference?.resolve() as? KtTypeAlias ?: return false
+            return isExplicitTypeReferenceNeededForTypeInference(typeAlias.getTypeReference())
         }
-        else -> true
+        else -> false
     }
 }
diff --git a/plugins/kotlin/idea/src/org/jetbrains/kotlin/idea/intentions/RemoveExplicitTypeIntention.kt b/plugins/kotlin/idea/src/org/jetbrains/kotlin/idea/intentions/RemoveExplicitTypeIntention.kt
index 61680550a9a5..586832428eb9 100644
--- a/plugins/kotlin/idea/src/org/jetbrains/kotlin/idea/intentions/RemoveExplicitTypeIntention.kt
+++ b/plugins/kotlin/idea/src/org/jetbrains/kotlin/idea/intentions/RemoveExplicitTypeIntention.kt
@@ -14,7 +14,7 @@ import org.jetbrains.kotlin.idea.project.languageVersionSettings
 import org.jetbrains.kotlin.idea.refactoring.addTypeArgumentsIfNeeded
 import org.jetbrains.kotlin.idea.refactoring.getQualifiedTypeArgumentList
 import org.jetbrains.kotlin.idea.search.usagesSearch.descriptor
-import org.jetbrains.kotlin.idea.util.hasRedundantTypeSpecification
+import org.jetbrains.kotlin.idea.util.isExplicitTypeReferenceNeededForTypeInference
 import org.jetbrains.kotlin.psi.*
 import org.jetbrains.kotlin.psi.psiUtil.endOffset
 import org.jetbrains.kotlin.psi.psiUtil.startOffset
@@ -68,7 +68,7 @@ class RemoveExplicitTypeIntention : SelfTargetingRangeIntention<KtCallableDeclar
                     element.resolveToDescriptorIfAny()
                 )
             ) return null
-            if (!hasRedundantTypeSpecification(element.typeReference, initializer)) return null
+            if (element.isExplicitTypeReferenceNeededForTypeInference()) return null
 
             return when {
                 initializer != null -> TextRange(element.startOffset, initializer.startOffset - 1)