diff --git a/src/services/formatting/formatting.ts b/src/services/formatting/formatting.ts
index 3773412bace..d8ca7f03d96 100644
--- a/src/services/formatting/formatting.ts
+++ b/src/services/formatting/formatting.ts
@@ -403,16 +403,13 @@ namespace ts.formatting {
                         indentation = parentDynamicIndentation.getIndentation();
                     }
                 }
-                else if (SmartIndenter.isIndentationPrevented(node)) {
+                else if (SmartIndenter.isIndentationPrevented(node) ||
+                    SmartIndenter.childStartsOnTheSameLineWithElseInIfStatement(parent, node, startLine, sourceFile)) {
+
                     indentation = parentDynamicIndentation.getIndentation();
                 }
                 else {
-                    if (SmartIndenter.childStartsOnTheSameLineWithElseInIfStatement(parent, node, startLine, sourceFile)) {
-                        indentation = parentDynamicIndentation.getIndentation();
-                    }
-                    else {
-                        indentation = parentDynamicIndentation.getIndentation() + parentDynamicIndentation.getDelta();
-                    }
+                    indentation = parentDynamicIndentation.getIndentation() + parentDynamicIndentation.getDelta();
                 }
             }
 
diff --git a/src/services/formatting/smartIndenter.ts b/src/services/formatting/smartIndenter.ts
index a95d756f356..86ee0f5f363 100644
--- a/src/services/formatting/smartIndenter.ts
+++ b/src/services/formatting/smartIndenter.ts
@@ -482,7 +482,7 @@ namespace ts.formatting {
             switch (node.kind) {
                 case SyntaxKind.NamedExports:
                     return true;
-                // Allow indentation only when namedBindings is NamespaceImport.
+                // NamedImports has its own braces as Block does
                 case SyntaxKind.ImportClause:
                     return (<ImportClause>node).namedBindings.kind === SyntaxKind.NamedImports;
             }