diff --git a/compiler/src/dotty/tools/dotc/core/SymDenotations.scala b/compiler/src/dotty/tools/dotc/core/SymDenotations.scala
index db639d961b23..e4a7cbffeec1 100644
--- a/compiler/src/dotty/tools/dotc/core/SymDenotations.scala
+++ b/compiler/src/dotty/tools/dotc/core/SymDenotations.scala
@@ -990,17 +990,26 @@ object SymDenotations {
     def isInlineMethod(implicit ctx: Context): Boolean =
       isAllOf(InlineMethod, butNot = Accessor)
 
-    def isRetainedInlineMethod(using Context): Boolean =
-      isAllOf(InlineMethod, butNot = AccessorOrDeferred)
+    /** Does this method or field need to be retained at runtime */
+    def isRetainedInline(using Context): Boolean =
+      is(Inline, butNot = Deferred)
       && allOverriddenSymbols.exists(!_.is(Inline))
 
+    /** Does this method need to be retained at runtime */
+    def isRetainedInlineMethod(using Context): Boolean =
+      is(Method, butNot = Accessor) && isRetainedInline
+
     /** Is this a Scala 2 macro */
     final def isScala2Macro(implicit ctx: Context): Boolean = is(Macro) && symbol.owner.is(Scala2x)
 
     /** An erased value or an inline method.
      */
     def isEffectivelyErased(implicit ctx: Context): Boolean =
-      is(Erased) || isInlineMethod && !isRetainedInlineMethod
+      is(Erased) || is(Inline) && !isRetainedInline && !hasAnnotation(defn.ScalaStaticAnnot)
+      // Do not mark local inline vals as erased. Currently some inline val references do not get
+      // fully inlined and then would fail the erased check.
+      // TODO: remove this condition when #8842 and #8843 are fixed
+      && (owner.isClass || is(Method))
 
     /** ()T and => T types should be treated as equivalent for this symbol.
      *  Note: For the moment, we treat Scala-2 compiled symbols as loose matching,
diff --git a/compiler/src/dotty/tools/dotc/transform/PostTyper.scala b/compiler/src/dotty/tools/dotc/transform/PostTyper.scala
index 37e0be2b7789..1e516c9f5037 100644
--- a/compiler/src/dotty/tools/dotc/transform/PostTyper.scala
+++ b/compiler/src/dotty/tools/dotc/transform/PostTyper.scala
@@ -213,8 +213,11 @@ class PostTyper extends MacroTransform with IdentityDenotTransformer { thisPhase
 
     private object dropInlines extends TreeMap {
       override def transform(tree: Tree)(implicit ctx: Context): Tree = tree match {
-        case Inlined(call, _, _) =>
-          cpy.Inlined(tree)(call, Nil, Typed(ref(defn.Predef_undefined), TypeTree(tree.tpe)).withSpan(tree.span))
+        case Inlined(call, _, expansion) =>
+          val newExpansion = tree.tpe match
+            case ConstantType(c) => Literal(c)
+            case _ => Typed(ref(defn.Predef_undefined), TypeTree(tree.tpe))
+          cpy.Inlined(tree)(call, Nil, newExpansion.withSpan(tree.span))
         case _ => super.transform(tree)
       }
     }
diff --git a/compiler/src/dotty/tools/dotc/transform/PruneErasedDefs.scala b/compiler/src/dotty/tools/dotc/transform/PruneErasedDefs.scala
index 2aeb0a186434..32a0a35f752c 100644
--- a/compiler/src/dotty/tools/dotc/transform/PruneErasedDefs.scala
+++ b/compiler/src/dotty/tools/dotc/transform/PruneErasedDefs.scala
@@ -7,6 +7,7 @@ import DenotTransformers.SymTransformer
 import Flags._
 import SymDenotations._
 import Symbols._
+import Types._
 import typer.RefChecks
 import MegaPhase.MiniPhase
 import ast.tpd
@@ -34,19 +35,26 @@ class PruneErasedDefs extends MiniPhase with SymTransformer { thisTransform =>
 
   override def transformApply(tree: Apply)(implicit ctx: Context): Tree =
     if (tree.fun.tpe.widen.isErasedMethod)
-      cpy.Apply(tree)(tree.fun, tree.args.map(arg => ref(defn.Predef_undefined)))
+      cpy.Apply(tree)(tree.fun, tree.args.map(trivialErasedTree))
     else tree
 
   override def transformValDef(tree: ValDef)(implicit ctx: Context): Tree =
     if (tree.symbol.isEffectivelyErased && !tree.rhs.isEmpty)
-      cpy.ValDef(tree)(rhs = ref(defn.Predef_undefined))
+      cpy.ValDef(tree)(rhs = trivialErasedTree(tree))
     else tree
 
   override def transformDefDef(tree: DefDef)(implicit ctx: Context): Tree =
     if (tree.symbol.isEffectivelyErased && !tree.rhs.isEmpty)
-      cpy.DefDef(tree)(rhs = ref(defn.Predef_undefined))
+      cpy.DefDef(tree)(rhs = trivialErasedTree(tree))
     else tree
+
+  private def trivialErasedTree(tree: Tree)(using Context): Tree =
+    tree.tpe.widenTermRefExpr.dealias match
+      case ConstantType(c) => Literal(c)
+      case _ => ref(defn.Predef_undefined)
+
 }
+
 object PruneErasedDefs {
   val name: String = "pruneErasedDefs"
 }
diff --git a/tests/run/erased-inline-vals.scala b/tests/run/erased-inline-vals.scala
new file mode 100644
index 000000000000..710f81e1fedf
--- /dev/null
+++ b/tests/run/erased-inline-vals.scala
@@ -0,0 +1,47 @@
+
+abstract class A:
+  def x: Int
+  val y: Int
+
+class B extends A:
+  inline def x: Int = 1
+  inline val y = 2
+
+class C extends A:
+  final val x: Int = 3
+  final val y = 4
+
+class D:
+  inline def x: Int = 5
+  inline val y = 6
+
+@main def Test =
+  val b: B = new B
+  assert(b.x == 1)
+  assert(b.y == 2)
+
+  val a: A = b
+  assert(a.x == 1)
+  assert(a.y == 2)
+
+  val c: C = new C
+  assert(c.x == 3)
+  assert(c.y == 4)
+
+  val a2: A = c
+  assert(a2.x == 3)
+  assert(a2.y == 4)
+
+  val d: D = new D
+  assert(d.x == 5)
+  assert(d.y == 6)
+
+
+  assert(classOf[B].getDeclaredMethods.size == 2)
+  assert(classOf[B].getDeclaredFields.isEmpty)
+
+  assert(classOf[C].getDeclaredMethods.size == 2)
+  assert(classOf[C].getDeclaredFields.size == 1)
+
+  assert(classOf[D].getDeclaredMethods.isEmpty)
+  assert(classOf[D].getFields.isEmpty)