diff --git a/lib/coffee-script/lexer.js b/lib/coffee-script/lexer.js
index 1a99d8c9..f607a47b 100644
--- a/lib/coffee-script/lexer.js
+++ b/lib/coffee-script/lexer.js
@@ -1,6 +1,6 @@
 // Generated by CoffeeScript 1.6.3
 (function() {
-  var BOM, BOOL, CALLABLE, CODE, COFFEE_ALIASES, COFFEE_ALIAS_MAP, COFFEE_KEYWORDS, COMMENT, COMPARE, COMPOUND_ASSIGN, HEREDOC, HEREDOC_ILLEGAL, HEREDOC_INDENT, HEREGEX, HEREGEX_OMIT, IDENTIFIER, INDEXABLE, INVERSES, JSTOKEN, JS_FORBIDDEN, JS_KEYWORDS, LINE_BREAK, LINE_CONTINUER, LOGIC, Lexer, MATH, MULTILINER, MULTI_DENT, NOT_REGEX, NOT_SPACED_REGEX, NUMBER, OPERATOR, REGEX, RELATION, RESERVED, Rewriter, SHIFT, SIMPLESTR, STRICT_PROSCRIBED, TRAILING_SPACES, UNARY, WHITESPACE, compact, count, invertLiterate, key, last, locationDataToString, repeat, starts, throwSyntaxError, _ref, _ref1,
+  var BOM, BOOL, CALLABLE, CODE, COFFEE_ALIASES, COFFEE_ALIAS_MAP, COFFEE_KEYWORDS, COMMENT, COMPARE, COMPOUND_ASSIGN, HEREDOC, HEREDOC_ILLEGAL, HEREDOC_INDENT, HEREGEX, HEREGEX_OMIT, IDENTIFIER, INDENTABLE_CLOSERS, INDEXABLE, INVERSES, JSTOKEN, JS_FORBIDDEN, JS_KEYWORDS, LINE_BREAK, LINE_CONTINUER, LOGIC, Lexer, MATH, MULTILINER, MULTI_DENT, NOT_REGEX, NOT_SPACED_REGEX, NUMBER, OPERATOR, REGEX, RELATION, RESERVED, Rewriter, SHIFT, SIMPLESTR, STRICT_PROSCRIBED, TRAILING_SPACES, UNARY, WHITESPACE, compact, count, invertLiterate, key, last, locationDataToString, repeat, starts, throwSyntaxError, _ref, _ref1,
     __indexOf = [].indexOf || function(item) { for (var i = 0, l = this.length; i < l; i++) { if (i in this && this[i] === item) return i; } return -1; };
 
   _ref = require('./rewriter'), Rewriter = _ref.Rewriter, INVERSES = _ref.INVERSES;
@@ -351,36 +351,42 @@
         this.indents.push(diff);
         this.ends.push('OUTDENT');
         this.outdebt = this.indebt = 0;
+        this.indent = size;
       } else if (size < this.baseIndent) {
         this.error('missing indentation', indent.length);
       } else {
         this.indebt = 0;
         this.outdentToken(this.indent - size, noNewlines, indent.length);
       }
-      this.indent = size;
       return indent.length;
     };
 
     Lexer.prototype.outdentToken = function(moveOut, noNewlines, outdentLength) {
-      var dent, len;
+      var decreasedIndent, dent, lastIndent, _ref2;
+      decreasedIndent = this.indent - moveOut;
       while (moveOut > 0) {
-        len = this.indents.length - 1;
-        if (this.indents[len] === void 0) {
+        lastIndent = this.indents[this.indents.length - 1];
+        if (!lastIndent) {
           moveOut = 0;
-        } else if (this.indents[len] === this.outdebt) {
+        } else if (lastIndent === this.outdebt) {
           moveOut -= this.outdebt;
           this.outdebt = 0;
-        } else if (this.indents[len] < this.outdebt) {
-          this.outdebt -= this.indents[len];
-          moveOut -= this.indents[len];
+        } else if (lastIndent < this.outdebt) {
+          this.outdebt -= lastIndent;
+          moveOut -= lastIndent;
         } else {
           dent = this.indents.pop() + this.outdebt;
-          moveOut -= dent;
+          if (outdentLength && (_ref2 = this.chunk[outdentLength], __indexOf.call(INDENTABLE_CLOSERS, _ref2) >= 0)) {
+            decreasedIndent -= dent - moveOut;
+            moveOut = dent;
+          }
           this.outdebt = 0;
           this.pair('OUTDENT');
-          this.token('OUTDENT', dent, 0, outdentLength);
+          this.token('OUTDENT', moveOut, 0, outdentLength);
+          moveOut -= dent;
         }
       }
+      this.indent = decreasedIndent;
       if (dent) {
         this.outdebt -= moveOut;
       }
@@ -685,13 +691,12 @@
     };
 
     Lexer.prototype.pair = function(tag) {
-      var size, wanted;
+      var wanted;
       if (tag !== (wanted = last(this.ends))) {
         if ('OUTDENT' !== wanted) {
           this.error("unmatched " + tag);
         }
-        this.indent -= size = last(this.indents);
-        this.outdentToken(size, true);
+        this.outdentToken(last(this.indents), true);
         return this.pair(tag);
       }
       return this.ends.pop();
@@ -910,4 +915,6 @@
 
   LINE_BREAK = ['INDENT', 'OUTDENT', 'TERMINATOR'];
 
+  INDENTABLE_CLOSERS = [')', '}', ']'];
+
 }).call(this);
diff --git a/src/lexer.coffee b/src/lexer.coffee
index 3356d875..1abf6003 100644
--- a/src/lexer.coffee
+++ b/src/lexer.coffee
@@ -327,37 +327,43 @@ exports.Lexer = class Lexer
       @indents.push diff
       @ends.push 'OUTDENT'
       @outdebt = @indebt = 0
+      @indent = size
     else if size < @baseIndent
       @error 'missing indentation', indent.length
     else
       @indebt = 0
       @outdentToken @indent - size, noNewlines, indent.length
-    @indent = size
     indent.length
 
   # Record an outdent token or multiple tokens, if we happen to be moving back
-  # inwards past several recorded indents.
+  # inwards past several recorded indents. Sets new @indent value.
   outdentToken: (moveOut, noNewlines, outdentLength) ->
+    decreasedIndent = @indent - moveOut
     while moveOut > 0
-      len = @indents.length - 1
-      if @indents[len] is undefined
+      lastIndent = @indents[@indents.length - 1]
+      if not lastIndent
         moveOut = 0
-      else if @indents[len] is @outdebt
+      else if lastIndent is @outdebt
         moveOut -= @outdebt
         @outdebt = 0
-      else if @indents[len] < @outdebt
-        @outdebt -= @indents[len]
-        moveOut  -= @indents[len]
+      else if lastIndent < @outdebt
+        @outdebt -= lastIndent
+        moveOut  -= lastIndent
       else
         dent = @indents.pop() + @outdebt
-        moveOut -= dent
+        if outdentLength and @chunk[outdentLength] in INDENTABLE_CLOSERS
+          decreasedIndent -= dent - moveOut
+          moveOut = dent
         @outdebt = 0
+        # pair might call outdentToken, so preserve decreasedIndent
         @pair 'OUTDENT'
-        @token 'OUTDENT', dent, 0, outdentLength
+        @token 'OUTDENT', moveOut, 0, outdentLength
+        moveOut -= dent
     @outdebt -= moveOut if dent
     @tokens.pop() while @value() is ';'
 
     @token 'TERMINATOR', '\n', outdentLength, 0 unless @tag() is 'TERMINATOR' or noNewlines
+    @indent = decreasedIndent
     this
 
   # Matches and consumes non-meaningful whitespace. Tag the previous token
@@ -606,8 +612,7 @@ exports.Lexer = class Lexer
       #     el.click((event) ->
       #       el.hide())
       #
-      @indent -= size = last @indents
-      @outdentToken size, true
+      @outdentToken last(@indents), true
       return @pair tag
     @ends.pop()
 
@@ -881,3 +886,6 @@ INDEXABLE = CALLABLE.concat 'NUMBER', 'BOOL', 'NULL', 'UNDEFINED'
 # occurs at the start of a line. We disambiguate these from trailing whens to
 # avoid an ambiguity in the grammar.
 LINE_BREAK = ['INDENT', 'OUTDENT', 'TERMINATOR']
+
+# Additional indent in front of these is ignored.
+INDENTABLE_CLOSERS = [')', '}', ']']
diff --git a/test/formatting.coffee b/test/formatting.coffee
index 8ca2f19e..ce398f8e 100644
--- a/test/formatting.coffee
+++ b/test/formatting.coffee
@@ -199,7 +199,7 @@ test "#1299: Disallow token misnesting", ->
 
 test "#2981: Enforce initial indentation", ->
   try
-    CoffeeScript.compile '  a\nb'
+    CoffeeScript.compile '  a\nb-'
     ok no
   catch e
     eq 'missing indentation', e.message
@@ -212,3 +212,16 @@ test "'single-line' expression containing multiple lines", ->
     then -b
     else null
   """
+
+test "#1275: allow indentation before closing brackets", ->
+  array = [
+      1
+      2
+      3
+    ]
+  eq array, array
+  do ->
+  (
+    a = 1
+   )
+  eq 1, a