diff --git a/source/modules/soul_core/compiler/soul_HeartGenerator.h b/source/modules/soul_core/compiler/soul_HeartGenerator.h
index 9f785f2..1df9424 100644
--- a/source/modules/soul_core/compiler/soul_HeartGenerator.h
+++ b/source/modules/soul_core/compiler/soul_HeartGenerator.h
@@ -102,9 +102,11 @@ struct HEARTGenerator  : public ASTVisitor
     }
 
     heart::Variable& createVariableDeclaration (AST::VariableDeclaration& v,
-                                                heart::Variable::Role role)
+                                                heart::Variable::Role role,
+                                                bool canBeReference)
     {
-        auto& av = module.allocate<heart::Variable> (v.context.location, v.getType(),
+        auto& av = module.allocate<heart::Variable> (v.context.location,
+                                                     canBeReference ? v.getType() : v.getType().removeReferenceIfPresent(),
                                                      convertIdentifier (v.name), role);
         v.generatedVariable = av;
 
@@ -118,7 +120,7 @@ struct HEARTGenerator  : public ASTVisitor
     heart::Variable& addExternalVariable (AST::VariableDeclaration& v)
     {
         SOUL_ASSERT (v.isExternal);
-        auto& hv = createVariableDeclaration (v, heart::Variable::Role::external);
+        auto& hv = createVariableDeclaration (v, heart::Variable::Role::external, false);
         module.stateVariables.add (hv);
         return hv;
     }
@@ -399,7 +401,7 @@ struct HEARTGenerator  : public ASTVisitor
 
         for (auto p : f.parameters)
         {
-            auto& v = createVariableDeclaration (p, heart::Variable::Role::parameter);
+            auto& v = createVariableDeclaration (p, heart::Variable::Role::parameter, true);
 
             if (af.functionType.isEvent() && v.getType().isNonConstReference())
                 p->context.throwError (Errors::eventParamsCannotBeNonConstReference());
@@ -897,12 +899,12 @@ struct HEARTGenerator  : public ASTVisitor
 
                 // Skip writing constant or unwritten-to variables to the state
                 if (! (v.numWrites == 0 && (type.isPrimitive() || type.isBoundedInt())))
-                    module.stateVariables.add (createVariableDeclaration (v, heart::Variable::Role::state));
+                    module.stateVariables.add (createVariableDeclaration (v, heart::Variable::Role::state, false));
             }
         }
         else
         {
-            auto& target = createVariableDeclaration (v, heart::Variable::Role::mutableLocal);
+            auto& target = createVariableDeclaration (v, heart::Variable::Role::mutableLocal, false);
 
             if (v.initialValue != nullptr)
                 visitWithDestination (target, *v.initialValue);
diff --git a/source/modules/soul_core/compiler/soul_ResolutionPass.h b/source/modules/soul_core/compiler/soul_ResolutionPass.h
index cc25975..27dbe54 100644
--- a/source/modules/soul_core/compiler/soul_ResolutionPass.h
+++ b/source/modules/soul_core/compiler/soul_ResolutionPass.h
@@ -1482,9 +1482,7 @@ struct ResolutionPass  final
         void resolveVariableDeclarationInitialValue (AST::VariableDeclaration& v, const Type& type)
         {
             if (AST::isResolvedAsValue (v.initialValue))
-                SanityCheckPass::expectSilentCastPossible (v.context,
-                                                           type,
-                                                           *v.initialValue);
+                SanityCheckPass::expectSilentCastPossible (v.context, type, *v.initialValue);
 
             if (! (AST::isResolvedAsValue (v.initialValue) && v.initialValue->getResultType().isIdentical (type)))
                 v.initialValue = allocator.allocate<AST::TypeCast> (v.initialValue->context, type, *v.initialValue);
diff --git a/source/modules/soul_core/types/soul_TypeRules.h b/source/modules/soul_core/types/soul_TypeRules.h
index b874116..e9acc80 100644
--- a/source/modules/soul_core/types/soul_TypeRules.h
+++ b/source/modules/soul_core/types/soul_TypeRules.h
@@ -106,10 +106,19 @@ struct TypeRules
             if ((dest.isPrimitive() || dest.isVectorOfSize1()) && source.isPrimitive() && ! dest.isReference())
                 return getCastType (dest.getPrimitiveType(), source.getPrimitiveType());
 
-            if (source.isEqual (dest, Type::ignoreConst))
-                if (! (dest.isReference() || source.isReference()))
-                    return CastType::identity;
-
+            if (! dest.isReference())
+            {
+                if (source.isReference())
+                {
+                    if (source.isConst() && source.isEqual (dest, Type::ignoreConst | Type::ignoreReferences))
+                        return CastType::identity;
+                }
+                else
+                {
+                    if (source.isEqual (dest, Type::ignoreConst))
+                        return CastType::identity;
+                }
+            }
 
             if (dest.isArray())
             {