diff --git a/src/Compiler/Optimize/LowerStateMachines.fs b/src/Compiler/Optimize/LowerStateMachines.fs
index 7a6dd553f65..eb7f6135064 100644
--- a/src/Compiler/Optimize/LowerStateMachines.fs
+++ b/src/Compiler/Optimize/LowerStateMachines.fs
@@ -103,8 +103,7 @@ let RepresentBindingAsStateVar g (bind: Binding) (resBody: StateMachineConversio
         stateVars = vref :: resBody.stateVars }
 
 let isExpandVar g (v: Val) = 
-    isReturnsResumableCodeTy g v.TauType &&
-    not v.IsCompiledAsTopLevel
+    isReturnsResumableCodeTy g v.TauType
 
 // We allow a prefix of bindings prior to the state machine, e.g. 
 //     task { .. }
@@ -114,8 +113,7 @@ let isExpandVar g (v: Val) =
 let isStateMachineBindingVar g (v: Val) = 
     isExpandVar g v  ||
     (let nm = v.LogicalName
-     (nm.StartsWithOrdinal("builder@") || v.IsMemberThisVal) &&
-     not v.IsCompiledAsTopLevel)
+     (nm.StartsWithOrdinal("builder@") || v.IsMemberThisVal))
 
 type env = 
     { 
diff --git a/tests/FSharp.Compiler.ComponentTests/Language/StateMachineTests.fs b/tests/FSharp.Compiler.ComponentTests/Language/StateMachineTests.fs
index c4aed123505..86e11cf2029 100644
--- a/tests/FSharp.Compiler.ComponentTests/Language/StateMachineTests.fs
+++ b/tests/FSharp.Compiler.ComponentTests/Language/StateMachineTests.fs
@@ -4,6 +4,7 @@ namespace Language
 
 open Xunit
 open FSharp.Test.Compiler
+open FSharp.Test
 
 module StateMachineTests =
 
@@ -160,4 +161,83 @@ let main _ =
         |> ignoreWarnings
         |> withOptimize
         |> compileExeAndRun
-        |> shouldSucceed
\ No newline at end of file
+        |> shouldSucceed
+
+    [<Fact>]
+    let ``State machine defined as top level value is statically compiled`` () =
+        Fsx """
+let test = task { return 42 }
+if test.Result <> 42 then failwith "expected 42"
+
+task { printfn "Hello, World!"; return 42 }
+"""
+        |> runFsi
+        |> shouldSucceed
+
+    [<Fact>]
+    let ``State machine defined as top level has a generated MoveNext method`` () =
+        FSharp """
+module TestStateMachine
+let test = task { return 42 }
+"""
+        |> compile
+        |> verifyIL [ """
+.method public strict virtual instance void MoveNext() cil managed
+{
+  .override [runtime]System.Runtime.CompilerServices.IAsyncStateMachine::MoveNext
+  
+  .maxstack  4
+  .locals init (int32 V_0,
+           class [runtime]System.Exception V_1,
+           bool V_2,
+           class [runtime]System.Exception V_3)
+  IL_0000:  ldarg.0
+  IL_0001:  ldfld      int32 TestStateMachine/test@3::ResumptionPoint
+  IL_0006:  stloc.0
+  .try
+  {
+    IL_0007:  ldarg.0
+    IL_0008:  ldflda     valuetype [FSharp.Core]Microsoft.FSharp.Control.TaskStateMachineData`1<int32> TestStateMachine/test@3::Data
+    IL_000d:  ldc.i4.s   42
+    IL_000f:  stfld      !0 valuetype [FSharp.Core]Microsoft.FSharp.Control.TaskStateMachineData`1<int32>::Result
+    IL_0014:  ldc.i4.1
+    IL_0015:  stloc.2
+    IL_0016:  ldloc.2
+    IL_0017:  brfalse.s  IL_0036
+
+    IL_0019:  ldarg.0
+    IL_001a:  ldflda     valuetype [FSharp.Core]Microsoft.FSharp.Control.TaskStateMachineData`1<int32> TestStateMachine/test@3::Data
+    IL_001f:  ldflda     valuetype [runtime]System.Runtime.CompilerServices.AsyncTaskMethodBuilder`1<!0> valuetype [FSharp.Core]Microsoft.FSharp.Control.TaskStateMachineData`1<int32>::MethodBuilder
+    IL_0024:  ldarg.0
+    IL_0025:  ldflda     valuetype [FSharp.Core]Microsoft.FSharp.Control.TaskStateMachineData`1<int32> TestStateMachine/test@3::Data
+    IL_002a:  ldfld      !0 valuetype [FSharp.Core]Microsoft.FSharp.Control.TaskStateMachineData`1<int32>::Result
+    IL_002f:  call       instance void valuetype [netstandard]System.Runtime.CompilerServices.AsyncTaskMethodBuilder`1<int32>::SetResult(!0)
+    IL_0034:  leave.s    IL_0042
+
+    IL_0036:  leave.s    IL_0042
+
+  }  
+  catch [runtime]System.Object 
+  {
+    IL_0038:  castclass  [runtime]System.Exception
+    IL_003d:  stloc.3
+    IL_003e:  ldloc.3
+    IL_003f:  stloc.1
+    IL_0040:  leave.s    IL_0042
+
+  }  
+  IL_0042:  ldloc.1
+  IL_0043:  stloc.3
+  IL_0044:  ldloc.3
+  IL_0045:  brtrue.s   IL_0048
+
+  IL_0047:  ret
+
+  IL_0048:  ldarg.0
+  IL_0049:  ldflda     valuetype [FSharp.Core]Microsoft.FSharp.Control.TaskStateMachineData`1<int32> TestStateMachine/test@3::Data
+  IL_004e:  ldflda     valuetype [runtime]System.Runtime.CompilerServices.AsyncTaskMethodBuilder`1<!0> valuetype [FSharp.Core]Microsoft.FSharp.Control.TaskStateMachineData`1<int32>::MethodBuilder
+  IL_0053:  ldloc.3
+  IL_0054:  call       instance void valuetype [netstandard]System.Runtime.CompilerServices.AsyncTaskMethodBuilder`1<int32>::SetException(class [netstandard]System.Exception)
+  IL_0059:  ret
+} 
+""" ]
diff --git a/tests/fsharp/core/state-machines/test.fsx b/tests/fsharp/core/state-machines/test.fsx
index f171bfdbe7b..7e502839d6d 100644
--- a/tests/fsharp/core/state-machines/test.fsx
+++ b/tests/fsharp/core/state-machines/test.fsx
@@ -656,6 +656,19 @@ module ``Check after code may include closures`` =
                 f 3))
     check "vwelvewl" (makeStateMachine 3) -2
 
+module ``Check simple state machine as top level value`` =
+    let stateMachine = 
+        __stateMachine<int, int>
+            (MoveNextMethodImpl<_>(fun sm -> 
+                if __useResumableCode then
+                    sm.Data <- 42 // we expect this result for successful resumable code compilation
+                else
+                    sm.Data <- 0xdeadbeef // if we get this result it means we've failed to compile as resumable code
+                )) 
+            (SetStateMachineMethodImpl<_>(fun sm state -> ()))
+            (AfterCode<_,_>(fun sm -> MoveOnce(&sm)))
+    check "top_level_value" stateMachine 42
+
 #if TESTS_AS_APP
 let RUN() = !failures
 #else