diff --git a/python/src/com/jetbrains/python/formatter/PyBlock.java b/python/src/com/jetbrains/python/formatter/PyBlock.java
index a195013a2aa2..5fdecfbfbe2b 100644
--- a/python/src/com/jetbrains/python/formatter/PyBlock.java
+++ b/python/src/com/jetbrains/python/formatter/PyBlock.java
@@ -171,7 +171,7 @@ public class PyBlock implements ASTBlock {
       else {
         childIndent = parentType == PyElementTypes.PARAMETER_LIST || isInControlStatement()
                       ? Indent.getContinuationIndent()
-                      : Indent.getNormalIndent();
+                      : Indent.getNormalIndent(true);
       }
     }
     else if (parentType == PyElementTypes.DICT_LITERAL_EXPRESSION || parentType == PyElementTypes.SET_LITERAL_EXPRESSION ||
diff --git a/python/testData/formatter/indentInNestedCall.py b/python/testData/formatter/indentInNestedCall.py
new file mode 100644
index 000000000000..ba5782ddc0cd
--- /dev/null
+++ b/python/testData/formatter/indentInNestedCall.py
@@ -0,0 +1,4 @@
+logging.warn('some_very_{long}_'
+             'amount_of_{text}'.format(
+    long='long',
+    text='text'))
\ No newline at end of file
diff --git a/python/testData/formatter/indentInNestedCall_after.py b/python/testData/formatter/indentInNestedCall_after.py
new file mode 100644
index 000000000000..58c0c164122c
--- /dev/null
+++ b/python/testData/formatter/indentInNestedCall_after.py
@@ -0,0 +1,4 @@
+logging.warn('some_very_{long}_'
+             'amount_of_{text}'.format(
+                 long='long',
+                 text='text'))
\ No newline at end of file
diff --git a/python/testSrc/com/jetbrains/python/PyFormatterTest.java b/python/testSrc/com/jetbrains/python/PyFormatterTest.java
index 3a843a51a3df..e97fe1a76ea5 100644
--- a/python/testSrc/com/jetbrains/python/PyFormatterTest.java
+++ b/python/testSrc/com/jetbrains/python/PyFormatterTest.java
@@ -268,6 +268,10 @@ public class PyFormatterTest extends PyTestCase {
     doTest();
   }
 
+  public void testIndentInNestedCall() {  // PY-8195
+    doTest();
+  }
+
   public void testIndentAfterBackslash() {
     doTest();
   }