diff --git a/plugins/kotlin/idea/tests/test/org/jetbrains/kotlin/idea/refactoring/introduce/ExtractionTestGenerated.java b/plugins/kotlin/idea/tests/test/org/jetbrains/kotlin/idea/refactoring/introduce/ExtractionTestGenerated.java
index c03cb93bd6de..8fa3337cc412 100644
--- a/plugins/kotlin/idea/tests/test/org/jetbrains/kotlin/idea/refactoring/introduce/ExtractionTestGenerated.java
+++ b/plugins/kotlin/idea/tests/test/org/jetbrains/kotlin/idea/refactoring/introduce/ExtractionTestGenerated.java
@@ -2506,6 +2506,11 @@ public abstract class ExtractionTestGenerated extends AbstractExtractionTest {
                     runTest("testData/refactoring/extractFunction/parameters/misc/smartCastInside1.kt");
                 }
 
+                @TestMetadata("smartCastInsideUnqualified.kt")
+                public void testSmartCastInsideUnqualified() throws Exception {
+                    runTest("testData/refactoring/extractFunction/parameters/misc/smartCastInsideUnqualified.kt");
+                }
+
                 @TestMetadata("thisInObject.kt")
                 public void testThisInObject() throws Exception {
                     runTest("testData/refactoring/extractFunction/parameters/misc/thisInObject.kt");
diff --git a/plugins/kotlin/idea/tests/testData/refactoring/extractFunction/parameters/misc/smartCastInsideUnqualified.kt b/plugins/kotlin/idea/tests/testData/refactoring/extractFunction/parameters/misc/smartCastInsideUnqualified.kt
new file mode 100644
index 000000000000..ae3e66ef06ff
--- /dev/null
+++ b/plugins/kotlin/idea/tests/testData/refactoring/extractFunction/parameters/misc/smartCastInsideUnqualified.kt
@@ -0,0 +1,7 @@
+
+class A(val foo: Set<String>?) {
+    fun bar(maybeFoo: String) {
+        <selection>if (foo != null && foo.contains(maybeFoo)) println("not null")</selection>
+    }
+}
+// IGNORE_K1
\ No newline at end of file
diff --git a/plugins/kotlin/idea/tests/testData/refactoring/extractFunction/parameters/misc/smartCastInsideUnqualified.kt.after b/plugins/kotlin/idea/tests/testData/refactoring/extractFunction/parameters/misc/smartCastInsideUnqualified.kt.after
new file mode 100644
index 000000000000..516e0e3eaa2b
--- /dev/null
+++ b/plugins/kotlin/idea/tests/testData/refactoring/extractFunction/parameters/misc/smartCastInsideUnqualified.kt.after
@@ -0,0 +1,10 @@
+class A(val foo: Set<String>?) {
+    fun bar(maybeFoo: String) {
+        __dummyTestFun__(maybeFoo)
+    }
+
+    private fun __dummyTestFun__(maybeFoo: String) {
+        if (foo != null && foo.contains(maybeFoo)) println("not null")
+    }
+}
+// IGNORE_K1
\ No newline at end of file
diff --git a/plugins/kotlin/refactorings/kotlin.refactorings.k2/src/org/jetbrains/kotlin/idea/k2/refactoring/extractFunction/parametersUtil.kt b/plugins/kotlin/refactorings/kotlin.refactorings.k2/src/org/jetbrains/kotlin/idea/k2/refactoring/extractFunction/parametersUtil.kt
index 960bcf5deb19..181f77582f03 100644
--- a/plugins/kotlin/refactorings/kotlin.refactorings.k2/src/org/jetbrains/kotlin/idea/k2/refactoring/extractFunction/parametersUtil.kt
+++ b/plugins/kotlin/refactorings/kotlin.refactorings.k2/src/org/jetbrains/kotlin/idea/k2/refactoring/extractFunction/parametersUtil.kt
@@ -85,7 +85,6 @@ import org.jetbrains.kotlin.psi.psiUtil.isInsideOf
 import org.jetbrains.kotlin.types.Variance
 import org.jetbrains.kotlin.types.expressions.OperatorConventions
 import org.jetbrains.kotlin.idea.k2.refactoring.introduce.K2SemanticMatcher.isSemanticMatch
-import org.jetbrains.kotlin.psi.psiUtil.getQualifiedElementSelector
 
 context(KtAnalysisSession)
 internal fun ExtractionData.inferParametersInfo(
@@ -426,27 +425,31 @@ private fun ExtractionData.getBrokenReferencesInfo(body: KtBlockExpression): Lis
         val parent = newRef.parent
 
         val smartCast: KtType?
+
+        fun calculateSmartCastType(target: KtExpression): KtType? {
+            return analyze(target) {
+                val cast = target.getSmartCastInfo()?.smartCastType
+                when {
+                    cast == null -> {
+                        smartCastPossibleRoots.add(target)
+                        null
+                    }
+
+                    //same qualified expressions without smartcast are present in the code fragment,
+                    //so smart cast is done inside selection, no need to extract additional parameter
+                    smartCastPossibleRoots.any { it.isSemanticMatch(target) } -> null
+                    else -> cast
+                }
+            }
+        }
+
         val possibleTypes: Set<KtType>
 
         // Qualified property reference: a.b
         val qualifiedExpression = newRef.getQualifiedExpressionForSelector()
         if (qualifiedExpression != null) {
             val smartCastTarget = originalRefExpr.parent as KtExpression
-            smartCast = analyze(smartCastTarget) {
-                val cast = smartCastTarget.getSmartCastInfo()?.smartCastType
-                when {
-                    cast == null -> {
-                        smartCastPossibleRoots.add(smartCastTarget)
-                        null
-                    }
-
-                    //same qualified expressions without smartcast are present in the code fragment,
-                    //so smart cast is done inside selection, no need to extract additional parameter
-                    smartCastPossibleRoots.any { it.isSemanticMatch(smartCastTarget) } -> null
-                    else -> cast
-                }
-            }
-
+            smartCast = calculateSmartCastType(smartCastTarget)
             possibleTypes = analyze(smartCastTarget) { smartCastTarget.getExpectedType()?.let { setOf(it) } ?: emptySet() }
             val (isCompanionObject, bothReceivers) = analyze(smartCastTarget) {
                 val symbol = originalRefExpr.resolveCall()?.singleCallOrNull<KtCallableMemberCall<*, *>>()?.partiallyAppliedSymbol
@@ -464,7 +467,7 @@ private fun ExtractionData.getBrokenReferencesInfo(body: KtBlockExpression): Lis
             if (originalResolveResult.descriptor is KtProperty && parent is KtCallExpression && parent.calleeExpression == newRef && parent.getQualifiedExpressionForSelector() != null) {
                 continue
             }
-            smartCast = analyze(originalRefExpr) { originalRefExpr.getSmartCastInfo()?.smartCastType }
+            smartCast = calculateSmartCastType(originalRefExpr)
             possibleTypes = analyze(originalRefExpr) { originalRefExpr.getExpectedType()?.let { setOf(it) } ?: emptySet() }
         }
 
diff --git a/plugins/kotlin/refactorings/kotlin.refactorings.tests.k2/test/org/jetbrains/kotlin/idea/k2/refactoring/introduceFunction/K2IntroduceFunctionTestGenerated.java b/plugins/kotlin/refactorings/kotlin.refactorings.tests.k2/test/org/jetbrains/kotlin/idea/k2/refactoring/introduceFunction/K2IntroduceFunctionTestGenerated.java
index 2e4ef4d44054..96f8c46351ab 100644
--- a/plugins/kotlin/refactorings/kotlin.refactorings.tests.k2/test/org/jetbrains/kotlin/idea/k2/refactoring/introduceFunction/K2IntroduceFunctionTestGenerated.java
+++ b/plugins/kotlin/refactorings/kotlin.refactorings.tests.k2/test/org/jetbrains/kotlin/idea/k2/refactoring/introduceFunction/K2IntroduceFunctionTestGenerated.java
@@ -1664,6 +1664,11 @@ public abstract class K2IntroduceFunctionTestGenerated extends AbstractK2Introdu
                 runTest("../../idea/tests/testData/refactoring/extractFunction/parameters/misc/smartCastInside1.kt");
             }
 
+            @TestMetadata("smartCastInsideUnqualified.kt")
+            public void testSmartCastInsideUnqualified() throws Exception {
+                runTest("../../idea/tests/testData/refactoring/extractFunction/parameters/misc/smartCastInsideUnqualified.kt");
+            }
+
             @TestMetadata("thisInObject.kt")
             public void testThisInObject() throws Exception {
                 runTest("../../idea/tests/testData/refactoring/extractFunction/parameters/misc/thisInObject.kt");