diff --git a/src/language/parser.js b/src/language/parser.js
index 859e8841..bf70f51a 100644
--- a/src/language/parser.js
+++ b/src/language/parser.js
@@ -472,10 +472,16 @@ module.exports = class Parser {
           if (parts[0] === `/IF`) {
             // Directive IF
             directIfScope += 1;
+            continue;
           } else
           if (parts[0] === `/ENDIF`) {
             // Directive ENDIF
             directIfScope -= 1;
+            continue;
+          } else
+          if (directIfScope > 0) {
+            // Ignore lines inside the IF scope.
+            continue;
           }
 
           switch (parts[0]) {
@@ -777,7 +783,7 @@ module.exports = class Parser {
               }
 
               if (currentItem && [`procedure`, `struct`].includes(currentItem.type)) {
-                if (currentItem.readParms) {
+                if (currentItem.readParms && parts.length > 0) {
                   if (parts[0].startsWith(`DCL`))
                     parts.slice(1);
 
diff --git a/tests/suite/directives.js b/tests/suite/directives.js
index 3f75260e..03c34539 100644
--- a/tests/suite/directives.js
+++ b/tests/suite/directives.js
@@ -217,4 +217,42 @@ module.exports = {
       },
     });
   },
+
+  if1: async () => {
+    const lines = [
+      `**FREE`,
+      `// Function Return Param Definitions`,
+      `Dcl-Ds Prp00a Qualified`,
+      `/IF DEFINED(PRP00A_TEMPLATE_ALL_DS)`,
+      ` Template`,
+      `/ENDIF`,
+      `;`,
+      `  Address Char(220);`,
+      `  Emp Packed(6);`,
+      `  Empname Char(60);`,
+      `  Phone_w_errm Char(95);`,
+      `  Phone Char(15) Overlay(Phone_w_errm :1);`,
+      `  Zipcode_w_errm Char(90);`,
+      `  Zipcode Char(10) Overlay(Zipcode_w_errm :1);`,
+      `End-Ds;`,
+      ``,
+      `Dcl-Ds Tmplt_EmpFmtAddress Qualified Template;`,
+      `  Name Char(60);`,
+      `  Addr1 Char(40);`,
+      `  Addr2 Char(40);`,
+      `  Addr3 Char(40);`,
+      `  Addr4 Char(40);`,
+      `End-Ds;`,
+    ].join(`\n`);
+
+    const parser = new Parser();
+    const cache = await parser.getDocs(uri, lines);
+
+    assert.strictEqual(cache.structs.length, 2);
+    
+    const Prp00a = cache.find(`Prp00a`);
+    assert.strictEqual(Prp00a.subItems.length, 7);
+    assert.strictEqual(Prp00a.keyword[`QUALIFIED`], true);
+    assert.strictEqual(Prp00a.keyword[`TEMPLATE`], undefined);
+  }
 }
\ No newline at end of file