diff --git a/src/indentBlock.ml b/src/indentBlock.ml
index 9933965b..c1852094 100644
--- a/src/indentBlock.ml
+++ b/src/indentBlock.ml
@@ -1177,7 +1177,7 @@ let rec update_path config block stream tok =
             | KParen | KBegin | KBracket | KBrace | KBracketBar
             | KWith(KMatch|KTry) | KBar(KMatch|KTry) | KArrow(KMatch|KTry)
             | KFun
-            | KBody(KType|KExternal) | KColon
+            | KBody(KType|KExternal|KLet) | KColon
             | KStruct | KSig | KObject
             | KExtendedItem _ | KExtendedExpr _ -> true
             | _ -> false)
@@ -1187,10 +1187,11 @@ let rec update_path config block stream tok =
         | {kind=KFun} :: ({kind=KExpr i} as e) :: path when i = prio_flatop ->
             (* eg '>>= fun x ->': indent like the top of the expression *)
             {e with kind = KExpr 0} :: path
-        | {kind=KFun; line } :: {kind=KBody KLet; line=letline} :: _
+        | {kind=KFun; line } :: {kind=KBody(KLet|KLetIn); line=letline} :: _
           when next_offset tok stream = None
             && line = current_line && line <> letline
           ->
+            (* Special indentation of [fun] inside a [let]. *)
             append (KArrow KFun) L ~pad:0 (reset_line_indent config line path)
         | {kind=KFun; line; _ } :: _
           when next_offset tok stream = None
diff --git a/tests/passing/js-let.ml b/tests/passing/js-let.ml
index 7065f9c4..1855ff70 100644
--- a/tests/passing/js-let.ml
+++ b/tests/passing/js-let.ml
@@ -40,3 +40,21 @@ let parenthesized_let_tweak =
           S.S.g s.S.s ~s
         in
         y)
+
+let indentation_after_fun =
+  fun foo ->
+  bar
+
+let indentation_after_fun =
+  let f =
+    fun foo ->
+    bar
+  in
+  ()
+
+(* Let is wrongly interpreted as LetIn *)
+module M = struct
+  let indentation_after_fun =
+    fun foo ->
+    bar
+end