diff --git a/lib/browser.js b/lib/browser.js
index 42e4d077..d8bc9ddb 100644
--- a/lib/browser.js
+++ b/lib/browser.js
@@ -8,7 +8,7 @@
     return (Function(CoffeeScript.compile(code, options)))();
   };
   if (!(typeof window !== "undefined" && window !== null)) {
-    return null;
+    return;
   }
   CoffeeScript.load = function(url, options) {
     var xhr;
diff --git a/lib/command.js b/lib/command.js
index ecf20979..e896391e 100644
--- a/lib/command.js
+++ b/lib/command.js
@@ -120,7 +120,7 @@
     } catch (err) {
       CoffeeScript.emit('failure', err, task);
       if (CoffeeScript.listeners('failure').length) {
-        return null;
+        return;
       }
       if (o.watch) {
         return puts(err.message);
@@ -146,7 +146,7 @@
       interval: 500
     }, function(curr, prev) {
       if (curr.size === prev.size && curr.mtime.getTime() === prev.mtime.getTime()) {
-        return null;
+        return;
       }
       return fs.readFile(source, function(err, code) {
         if (err) {
diff --git a/lib/grammar.js b/lib/grammar.js
index 6a47a018..9455ab95 100644
--- a/lib/grammar.js
+++ b/lib/grammar.js
@@ -102,7 +102,7 @@
       o("RETURN Expression", function() {
         return new ReturnNode($2);
       }), o("RETURN", function() {
-        return new ReturnNode(new ValueNode(new LiteralNode('null')));
+        return new ReturnNode;
       })
     ],
     Comment: [
diff --git a/lib/lexer.js b/lib/lexer.js
index e9f216ab..d171417a 100644
--- a/lib/lexer.js
+++ b/lib/lexer.js
@@ -418,12 +418,12 @@
     Lexer.prototype.tagParameters = function() {
       var i, tok;
       if (this.tag() !== ')') {
-        return null;
+        return;
       }
       i = this.tokens.length;
       while (true) {
         if (!(tok = this.tokens[--i])) {
-          return null;
+          return;
         }
         switch (tok[0]) {
           case 'IDENTIFIER':
diff --git a/lib/nodes.js b/lib/nodes.js
index fa1065b8..6e3184d9 100644
--- a/lib/nodes.js
+++ b/lib/nodes.js
@@ -112,7 +112,7 @@
     BaseNode.prototype.eachChild = function(func) {
       var _i, _j, _len, _len2, _ref2, _ref3, _result, attr, child;
       if (!(this.children)) {
-        return null;
+        return;
       }
       _result = []; _ref2 = this.children;
       for (_i = 0, _len = _ref2.length; _i < _len; _i++) {
@@ -122,7 +122,7 @@
           for (_j = 0, _len2 = _ref3.length; _j < _len2; _j++) {
             child = _ref3[_j];
             if (func(child) === false) {
-              return null;
+              return;
             }
           }
         }
@@ -286,18 +286,23 @@
     ReturnNode.prototype.children = ['expression'];
     ReturnNode.prototype.makeReturn = THIS;
     ReturnNode.prototype.compile = function(o) {
-      var expr;
-      expr = this.expression.makeReturn();
-      if (!(expr instanceof ReturnNode)) {
+      var _ref2, expr;
+      expr = (((_ref2 = this.expression) != null) ? _ref2.makeReturn() : undefined);
+      if (expr && (!(expr instanceof ReturnNode))) {
         return expr.compile(o);
       }
       return ReturnNode.__super__.compile.call(this, o);
     };
     ReturnNode.prototype.compileNode = function(o) {
-      if (this.expression.isStatement(o)) {
-        o.asStatement = true;
+      var expr;
+      expr = '';
+      if (this.expression) {
+        if (this.expression.isStatement(o)) {
+          o.asStatement = true;
+        }
+        expr = ' ' + this.expression.compile(o);
       }
-      return "" + (this.tab) + "return " + (this.expression.compile(o)) + ";";
+      return "" + (this.tab) + "return" + expr + ";";
     };
     return ReturnNode;
   })();
@@ -426,7 +431,7 @@
         ifnode = node.unfoldSoak(o);
       }
       if (!(ifnode)) {
-        return null;
+        return;
       }
       parent[name] = ifnode.body;
       ifnode.body = new ValueNode(parent);
diff --git a/lib/parser.js b/lib/parser.js
index 891d6317..23e7cdba 100755
--- a/lib/parser.js
+++ b/lib/parser.js
@@ -117,7 +117,7 @@ case 53:this.$ = $$[$0-1+1-1];
 break;
 case 54:this.$ = new yy.ReturnNode($$[$0-2+2-1]);
 break;
-case 55:this.$ = new yy.ReturnNode(new yy.ValueNode(new yy.LiteralNode('null')));
+case 55:this.$ = new yy.ReturnNode;
 break;
 case 56:this.$ = new yy.CommentNode($$[$0-1+1-1]);
 break;
diff --git a/src/grammar.coffee b/src/grammar.coffee
index 9bd0024a..fcde7773 100644
--- a/src/grammar.coffee
+++ b/src/grammar.coffee
@@ -160,7 +160,7 @@ grammar =
   # A return statement from a function body.
   Return: [
     o "RETURN Expression",                      -> new ReturnNode $2
-    o "RETURN",                                 -> new ReturnNode new ValueNode new LiteralNode 'null'
+    o "RETURN",                                 -> new ReturnNode
   ]
 
   # A block comment.
diff --git a/src/nodes.coffee b/src/nodes.coffee
index 3ae6a4fa..66476ae7 100644
--- a/src/nodes.coffee
+++ b/src/nodes.coffee
@@ -279,13 +279,16 @@ exports.ReturnNode = class ReturnNode extends BaseNode
   makeReturn: THIS
 
   compile: (o) ->
-    expr = @expression.makeReturn()
-    return expr.compile o unless expr instanceof ReturnNode
+    expr = @expression?.makeReturn()
+    return expr.compile o if expr and (expr not instanceof ReturnNode)
     super o
 
   compileNode: (o) ->
-    o.asStatement = true if @expression.isStatement(o)
-    "#{@tab}return #{@expression.compile(o)};"
+    expr = ''
+    if @expression
+      o.asStatement = true if @expression.isStatement(o)
+      expr = ' ' + @expression.compile(o)
+    "#{@tab}return#{expr};"
 
 #### ValueNode
 
diff --git a/test/test_literals.coffee b/test/test_literals.coffee
index 5ca3fe54..308305df 100644
--- a/test/test_literals.coffee
+++ b/test/test_literals.coffee
@@ -32,7 +32,7 @@ ok [0...10].join(' ') is '0 1 2 3 4 5 6 7 8 9'
 func = ->
   return if true
 
-ok func() is null
+ok func() is undefined
 
 eq /\\/.source, "\\\\"
 eq '(((dollars)))', '\(\(\(dollars\)\)\)'