diff --git a/compiler/sigmatch.nim b/compiler/sigmatch.nim
index df5a76a57..44807dae2 100644
--- a/compiler/sigmatch.nim
+++ b/compiler/sigmatch.nim
@@ -1021,11 +1021,9 @@ proc typeRel(c: var TCandidate, f, aOrig: PType, doBind = true): TTypeRelation =
       var fskip = skippedNone
       let aobj = x.skipToObject(askip)
       let fobj = genericBody.lastSon.skipToObject(fskip)
+      var depth = -1
       if fobj != nil and aobj != nil and askip == fskip:
-        let depth = isObjectSubtype(c, aobj, fobj, f)
-        if depth >= 0:
-          c.inheritancePenalty += depth
-          return if depth == 0: isGeneric else: isSubtype
+        depth = isObjectSubtype(c, aobj, fobj, f)
       result = typeRel(c, genericBody, x)
       if result != isNone:
         # see tests/generics/tgeneric3.nim for an example that triggers this
@@ -1047,6 +1045,11 @@ proc typeRel(c: var TCandidate, f, aOrig: PType, doBind = true): TTypeRelation =
           else:
             put(c, f.sons[i], x)
 
+      if depth >= 0:
+        c.inheritancePenalty += depth
+        # bug #4863: We still need to bind generic alias crap, so
+        # we cannot return immediately:
+        result = if depth == 0: isGeneric else: isSubtype
   of tyAnd:
     considerPreviousT:
       result = isEqual
diff --git a/tests/generics/tstatictalias.nim b/tests/generics/tstatictalias.nim
new file mode 100644
index 000000000..98751b8cb
--- /dev/null
+++ b/tests/generics/tstatictalias.nim
@@ -0,0 +1,20 @@
+discard """
+  output: '''G:0,1:0.1
+G:0,1:0.1
+H:1:0.1'''
+"""
+
+type
+  G[i,j:static[int]] = object
+    v:float
+  H[j:static[int]] = G[0,j]
+proc p[i,j:static[int]](x:G[i,j]) = echo "G:",i,",",j,":",x.v
+proc q[j:static[int]](x:H[j]) = echo "H:",j,":",x.v
+
+var
+  g0 = G[0,1](v: 0.1)
+  h0:H[1] = g0
+p(g0)
+p(h0)
+q(h0)
+# bug #4863