diff --git a/src/compiler/checker.ts b/src/compiler/checker.ts
index 58ac3bc52c0bc..9224b6afd7c78 100644
--- a/src/compiler/checker.ts
+++ b/src/compiler/checker.ts
@@ -8258,11 +8258,11 @@ namespace ts {
                 // The first time an anonymous type is instantiated we compute and store a list of the type
                 // parameters that are in scope (and therefore potentially referenced). For type literals that
                 // aren't the right hand side of a generic type alias declaration we optimize by reducing the
-                // set of type parameters to those that are actually referenced somewhere in the literal.
+                // set of type parameters to those that are possibly referenced in the literal.
                 const declaration = symbol.declarations[0];
                 const outerTypeParameters = getOuterTypeParameters(declaration, /*includeThisTypes*/ true) || emptyArray;
                 typeParameters = symbol.flags & SymbolFlags.TypeLiteral && !target.aliasTypeArguments ?
-                    filter(outerTypeParameters, tp => isTypeParameterReferencedWithin(tp, declaration)) :
+                    filter(outerTypeParameters, tp => isTypeParameterPossiblyReferenced(tp, declaration)) :
                     outerTypeParameters;
                 links.typeParameters = typeParameters;
                 if (typeParameters.length) {
@@ -8288,13 +8288,27 @@ namespace ts {
             return type;
         }
 
-        function isTypeParameterReferencedWithin(tp: TypeParameter, node: Node) {
-            return tp.isThisType ? forEachChild(node, checkThis) : forEachChild(node, checkIdentifier);
-            function checkThis(node: Node): boolean {
-                return node.kind === SyntaxKind.ThisType || forEachChild(node, checkThis);
+        function isTypeParameterPossiblyReferenced(tp: TypeParameter, node: Node) {
+            // If the type parameter doesn't have exactly one declaration, if there are invening statement blocks
+            // between the node and the type parameter declaration, if the node contains actual references to the
+            // type parameter, or if the node contains type queries, we consider the type parameter possibly referenced.
+            if (tp.symbol && tp.symbol.declarations && tp.symbol.declarations.length === 1) {
+                const container = tp.symbol.declarations[0].parent;
+                if (findAncestor(node, n => n.kind === SyntaxKind.Block ? "quit" : n === container)) {
+                    return forEachChild(node, containsReference);
+                }
             }
-            function checkIdentifier(node: Node): boolean {
-                return node.kind === SyntaxKind.Identifier && isPartOfTypeNode(node) && getTypeFromTypeNode(<TypeNode>node) === tp || forEachChild(node, checkIdentifier);
+            return true;
+            function containsReference(node: Node): boolean {
+                switch (node.kind) {
+                    case SyntaxKind.ThisType:
+                        return tp.isThisType;
+                    case SyntaxKind.Identifier:
+                        return !tp.isThisType && isPartOfTypeNode(node) && getTypeFromTypeNode(<TypeNode>node) === tp;
+                    case SyntaxKind.TypeQuery:
+                        return true;
+                }
+                return forEachChild(node, containsReference);
             }
         }
 
diff --git a/tests/baselines/reference/indirectTypeParameterReferences.js b/tests/baselines/reference/indirectTypeParameterReferences.js
new file mode 100644
index 0000000000000..f947b8f7c1ffb
--- /dev/null
+++ b/tests/baselines/reference/indirectTypeParameterReferences.js
@@ -0,0 +1,49 @@
+//// [indirectTypeParameterReferences.ts]
+// Repro from #19043
+
+type B = {b: string}
+
+const flowtypes = <A>(b: B) => {
+  type Combined = A & B
+
+  const combined = (fn: (combined: Combined) => void) => null
+  const literal = (fn: (aPlusB: A & B) => void) => null
+
+  return {combined, literal}
+}
+
+const {combined, literal} = flowtypes<{a: string}>({b: 'b-value'})
+
+literal(aPlusB => {
+  aPlusB.b
+  aPlusB.a
+})
+
+combined(comb => {
+  comb.b
+  comb.a
+})
+
+// Repro from #19091
+
+declare function f<T>(a: T): { a: typeof a };
+let n: number = f(2).a;
+
+
+//// [indirectTypeParameterReferences.js]
+// Repro from #19043
+var flowtypes = function (b) {
+    var combined = function (fn) { return null; };
+    var literal = function (fn) { return null; };
+    return { combined: combined, literal: literal };
+};
+var _a = flowtypes({ b: 'b-value' }), combined = _a.combined, literal = _a.literal;
+literal(function (aPlusB) {
+    aPlusB.b;
+    aPlusB.a;
+});
+combined(function (comb) {
+    comb.b;
+    comb.a;
+});
+var n = f(2).a;
diff --git a/tests/baselines/reference/indirectTypeParameterReferences.symbols b/tests/baselines/reference/indirectTypeParameterReferences.symbols
new file mode 100644
index 0000000000000..cf0f3e7bbc910
--- /dev/null
+++ b/tests/baselines/reference/indirectTypeParameterReferences.symbols
@@ -0,0 +1,91 @@
+=== tests/cases/compiler/indirectTypeParameterReferences.ts ===
+// Repro from #19043
+
+type B = {b: string}
+>B : Symbol(B, Decl(indirectTypeParameterReferences.ts, 0, 0))
+>b : Symbol(b, Decl(indirectTypeParameterReferences.ts, 2, 10))
+
+const flowtypes = <A>(b: B) => {
+>flowtypes : Symbol(flowtypes, Decl(indirectTypeParameterReferences.ts, 4, 5))
+>A : Symbol(A, Decl(indirectTypeParameterReferences.ts, 4, 19))
+>b : Symbol(b, Decl(indirectTypeParameterReferences.ts, 4, 22))
+>B : Symbol(B, Decl(indirectTypeParameterReferences.ts, 0, 0))
+
+  type Combined = A & B
+>Combined : Symbol(Combined, Decl(indirectTypeParameterReferences.ts, 4, 32))
+>A : Symbol(A, Decl(indirectTypeParameterReferences.ts, 4, 19))
+>B : Symbol(B, Decl(indirectTypeParameterReferences.ts, 0, 0))
+
+  const combined = (fn: (combined: Combined) => void) => null
+>combined : Symbol(combined, Decl(indirectTypeParameterReferences.ts, 7, 7))
+>fn : Symbol(fn, Decl(indirectTypeParameterReferences.ts, 7, 20))
+>combined : Symbol(combined, Decl(indirectTypeParameterReferences.ts, 7, 25))
+>Combined : Symbol(Combined, Decl(indirectTypeParameterReferences.ts, 4, 32))
+
+  const literal = (fn: (aPlusB: A & B) => void) => null
+>literal : Symbol(literal, Decl(indirectTypeParameterReferences.ts, 8, 7))
+>fn : Symbol(fn, Decl(indirectTypeParameterReferences.ts, 8, 19))
+>aPlusB : Symbol(aPlusB, Decl(indirectTypeParameterReferences.ts, 8, 24))
+>A : Symbol(A, Decl(indirectTypeParameterReferences.ts, 4, 19))
+>B : Symbol(B, Decl(indirectTypeParameterReferences.ts, 0, 0))
+
+  return {combined, literal}
+>combined : Symbol(combined, Decl(indirectTypeParameterReferences.ts, 10, 10))
+>literal : Symbol(literal, Decl(indirectTypeParameterReferences.ts, 10, 19))
+}
+
+const {combined, literal} = flowtypes<{a: string}>({b: 'b-value'})
+>combined : Symbol(combined, Decl(indirectTypeParameterReferences.ts, 13, 7))
+>literal : Symbol(literal, Decl(indirectTypeParameterReferences.ts, 13, 16))
+>flowtypes : Symbol(flowtypes, Decl(indirectTypeParameterReferences.ts, 4, 5))
+>a : Symbol(a, Decl(indirectTypeParameterReferences.ts, 13, 39))
+>b : Symbol(b, Decl(indirectTypeParameterReferences.ts, 13, 52))
+
+literal(aPlusB => {
+>literal : Symbol(literal, Decl(indirectTypeParameterReferences.ts, 13, 16))
+>aPlusB : Symbol(aPlusB, Decl(indirectTypeParameterReferences.ts, 15, 8))
+
+  aPlusB.b
+>aPlusB.b : Symbol(b, Decl(indirectTypeParameterReferences.ts, 2, 10))
+>aPlusB : Symbol(aPlusB, Decl(indirectTypeParameterReferences.ts, 15, 8))
+>b : Symbol(b, Decl(indirectTypeParameterReferences.ts, 2, 10))
+
+  aPlusB.a
+>aPlusB.a : Symbol(a, Decl(indirectTypeParameterReferences.ts, 13, 39))
+>aPlusB : Symbol(aPlusB, Decl(indirectTypeParameterReferences.ts, 15, 8))
+>a : Symbol(a, Decl(indirectTypeParameterReferences.ts, 13, 39))
+
+})
+
+combined(comb => {
+>combined : Symbol(combined, Decl(indirectTypeParameterReferences.ts, 13, 7))
+>comb : Symbol(comb, Decl(indirectTypeParameterReferences.ts, 20, 9))
+
+  comb.b
+>comb.b : Symbol(b, Decl(indirectTypeParameterReferences.ts, 2, 10))
+>comb : Symbol(comb, Decl(indirectTypeParameterReferences.ts, 20, 9))
+>b : Symbol(b, Decl(indirectTypeParameterReferences.ts, 2, 10))
+
+  comb.a
+>comb.a : Symbol(a, Decl(indirectTypeParameterReferences.ts, 13, 39))
+>comb : Symbol(comb, Decl(indirectTypeParameterReferences.ts, 20, 9))
+>a : Symbol(a, Decl(indirectTypeParameterReferences.ts, 13, 39))
+
+})
+
+// Repro from #19091
+
+declare function f<T>(a: T): { a: typeof a };
+>f : Symbol(f, Decl(indirectTypeParameterReferences.ts, 23, 2))
+>T : Symbol(T, Decl(indirectTypeParameterReferences.ts, 27, 19))
+>a : Symbol(a, Decl(indirectTypeParameterReferences.ts, 27, 22))
+>T : Symbol(T, Decl(indirectTypeParameterReferences.ts, 27, 19))
+>a : Symbol(a, Decl(indirectTypeParameterReferences.ts, 27, 30))
+>a : Symbol(a, Decl(indirectTypeParameterReferences.ts, 27, 22))
+
+let n: number = f(2).a;
+>n : Symbol(n, Decl(indirectTypeParameterReferences.ts, 28, 3))
+>f(2).a : Symbol(a, Decl(indirectTypeParameterReferences.ts, 27, 30))
+>f : Symbol(f, Decl(indirectTypeParameterReferences.ts, 23, 2))
+>a : Symbol(a, Decl(indirectTypeParameterReferences.ts, 27, 30))
+
diff --git a/tests/baselines/reference/indirectTypeParameterReferences.types b/tests/baselines/reference/indirectTypeParameterReferences.types
new file mode 100644
index 0000000000000..e38f5dd2577aa
--- /dev/null
+++ b/tests/baselines/reference/indirectTypeParameterReferences.types
@@ -0,0 +1,106 @@
+=== tests/cases/compiler/indirectTypeParameterReferences.ts ===
+// Repro from #19043
+
+type B = {b: string}
+>B : B
+>b : string
+
+const flowtypes = <A>(b: B) => {
+>flowtypes : <A>(b: B) => { combined: (fn: (combined: A & B) => void) => any; literal: (fn: (aPlusB: A & B) => void) => any; }
+><A>(b: B) => {  type Combined = A & B  const combined = (fn: (combined: Combined) => void) => null  const literal = (fn: (aPlusB: A & B) => void) => null  return {combined, literal}} : <A>(b: B) => { combined: (fn: (combined: A & B) => void) => any; literal: (fn: (aPlusB: A & B) => void) => any; }
+>A : A
+>b : B
+>B : B
+
+  type Combined = A & B
+>Combined : A & B
+>A : A
+>B : B
+
+  const combined = (fn: (combined: Combined) => void) => null
+>combined : (fn: (combined: A & B) => void) => any
+>(fn: (combined: Combined) => void) => null : (fn: (combined: A & B) => void) => any
+>fn : (combined: A & B) => void
+>combined : A & B
+>Combined : A & B
+>null : null
+
+  const literal = (fn: (aPlusB: A & B) => void) => null
+>literal : (fn: (aPlusB: A & B) => void) => any
+>(fn: (aPlusB: A & B) => void) => null : (fn: (aPlusB: A & B) => void) => any
+>fn : (aPlusB: A & B) => void
+>aPlusB : A & B
+>A : A
+>B : B
+>null : null
+
+  return {combined, literal}
+>{combined, literal} : { combined: (fn: (combined: A & B) => void) => any; literal: (fn: (aPlusB: A & B) => void) => any; }
+>combined : (fn: (combined: A & B) => void) => any
+>literal : (fn: (aPlusB: A & B) => void) => any
+}
+
+const {combined, literal} = flowtypes<{a: string}>({b: 'b-value'})
+>combined : (fn: (combined: { a: string; } & B) => void) => any
+>literal : (fn: (aPlusB: { a: string; } & B) => void) => any
+>flowtypes<{a: string}>({b: 'b-value'}) : { combined: (fn: (combined: { a: string; } & B) => void) => any; literal: (fn: (aPlusB: { a: string; } & B) => void) => any; }
+>flowtypes : <A>(b: B) => { combined: (fn: (combined: A & B) => void) => any; literal: (fn: (aPlusB: A & B) => void) => any; }
+>a : string
+>{b: 'b-value'} : { b: string; }
+>b : string
+>'b-value' : "b-value"
+
+literal(aPlusB => {
+>literal(aPlusB => {  aPlusB.b  aPlusB.a}) : any
+>literal : (fn: (aPlusB: { a: string; } & B) => void) => any
+>aPlusB => {  aPlusB.b  aPlusB.a} : (aPlusB: { a: string; } & B) => void
+>aPlusB : { a: string; } & B
+
+  aPlusB.b
+>aPlusB.b : string
+>aPlusB : { a: string; } & B
+>b : string
+
+  aPlusB.a
+>aPlusB.a : string
+>aPlusB : { a: string; } & B
+>a : string
+
+})
+
+combined(comb => {
+>combined(comb => {  comb.b  comb.a}) : any
+>combined : (fn: (combined: { a: string; } & B) => void) => any
+>comb => {  comb.b  comb.a} : (comb: { a: string; } & B) => void
+>comb : { a: string; } & B
+
+  comb.b
+>comb.b : string
+>comb : { a: string; } & B
+>b : string
+
+  comb.a
+>comb.a : string
+>comb : { a: string; } & B
+>a : string
+
+})
+
+// Repro from #19091
+
+declare function f<T>(a: T): { a: typeof a };
+>f : <T>(a: T) => { a: T; }
+>T : T
+>a : T
+>T : T
+>a : T
+>a : T
+
+let n: number = f(2).a;
+>n : number
+>f(2).a : number
+>f(2) : { a: number; }
+>f : <T>(a: T) => { a: T; }
+>2 : 2
+>a : number
+
diff --git a/tests/cases/compiler/indirectTypeParameterReferences.ts b/tests/cases/compiler/indirectTypeParameterReferences.ts
new file mode 100644
index 0000000000000..c8cb56ad5e714
--- /dev/null
+++ b/tests/cases/compiler/indirectTypeParameterReferences.ts
@@ -0,0 +1,29 @@
+// Repro from #19043
+
+type B = {b: string}
+
+const flowtypes = <A>(b: B) => {
+  type Combined = A & B
+
+  const combined = (fn: (combined: Combined) => void) => null
+  const literal = (fn: (aPlusB: A & B) => void) => null
+
+  return {combined, literal}
+}
+
+const {combined, literal} = flowtypes<{a: string}>({b: 'b-value'})
+
+literal(aPlusB => {
+  aPlusB.b
+  aPlusB.a
+})
+
+combined(comb => {
+  comb.b
+  comb.a
+})
+
+// Repro from #19091
+
+declare function f<T>(a: T): { a: typeof a };
+let n: number = f(2).a;