diff --git a/src/asm/asmy.y b/src/asm/asmy.y
index 363a8b14..178437c0 100644
--- a/src/asm/asmy.y
+++ b/src/asm/asmy.y
@@ -551,7 +551,12 @@ static void strsubUTF8(char *dest, const char *src, uint32_t pos, uint32_t len)
 %left	NEG /* negation -- unary minus */
 
 %token	<tzSym> T_LABEL
+%token	<tzSym> T_LOCAL_LABEL
+%type	<tzSym> scoped_label
+%type	<tzSym> scoped_label_bare
 %token	<tzSym> T_ID
+%token	<tzSym> T_LOCAL_ID
+%type	<tzSym> scoped_id
 %token	<tzSym> T_POP_EQU
 %token	<tzSym> T_POP_SET
 %token	<tzSym> T_POP_EQUAL
@@ -654,22 +659,34 @@ line		: label
 		| pseudoop
 ;
 
+scoped_label_bare	: T_LABEL | T_LOCAL_LABEL ;
+scoped_label	: T_LABEL ':'
+		{
+			strcpy($$, $1);
+		}
+		| T_LOCAL_LABEL ':'
+		{
+			strcpy($$, $1);
+		}
+;
+scoped_id	: T_ID | T_LOCAL_ID ;
+
 label		: /* empty */
-		| T_LABEL
+		| scoped_label_bare
 		{
 			if ($1[0] == '.')
 				sym_AddLocalReloc($1);
 			else
 				sym_AddReloc($1);
 		}
-		| T_LABEL ':'
+		| scoped_label
 		{
 			if ($1[0] == '.')
 				sym_AddLocalReloc($1);
 			else
 				sym_AddReloc($1);
 		}
-		| T_LABEL ':' ':'
+		| scoped_label ':'
 		{
 			if ($1[0] == '.')
 				sym_AddLocalReloc($1);
@@ -921,7 +938,7 @@ purge_list	: purge_list_entry
 		| purge_list_entry comma purge_list
 ;
 
-purge_list_entry : T_ID
+purge_list_entry : scoped_id
 		{
 			sym_Purge($1);
 		}
@@ -934,7 +951,7 @@ import_list	: import_list_entry
 		| import_list_entry comma import_list
 ;
 
-import_list_entry : T_ID
+import_list_entry : scoped_id
 		{
 			/*
 			 * This is done automatically if the label isn't found
@@ -951,7 +968,7 @@ export_list	: export_list_entry
 		| export_list_entry comma export_list
 ;
 
-export_list_entry : T_ID
+export_list_entry : scoped_id
 		{
 			sym_Export($1);
 		}
@@ -964,7 +981,7 @@ global_list	: global_list_entry
 		| global_list_entry comma global_list
 ;
 
-global_list_entry : T_ID
+global_list_entry : scoped_id
 		{
 			sym_Export($1);
 		}
@@ -1229,7 +1246,7 @@ relocexpr	: relocexpr_no_str
 		}
 ;
 
-relocexpr_no_str	: T_ID
+relocexpr_no_str	: scoped_id
 		{
 			rpn_Symbol(&$$, $1);
 		}
@@ -1261,7 +1278,7 @@ relocexpr_no_str	: T_ID
 		| T_OP_NOT relocexpr %prec NEG		{ rpn_UNNOT(&$$, &$2); }
 		| T_OP_HIGH '(' relocexpr ')'		{ rpn_HIGH(&$$, &$3); }
 		| T_OP_LOW '(' relocexpr ')'		{ rpn_LOW(&$$, &$3); }
-		| T_OP_BANK '(' T_ID ')'
+		| T_OP_BANK '(' scoped_id ')'
 		{
 			/* '@' is also a T_ID, it is handled here. */
 			rpn_BankSymbol(&$$, $3);
@@ -1272,7 +1289,7 @@ relocexpr_no_str	: T_ID
 		}
 		| T_OP_DEF {
 				oDontExpandStrings = true;
-			} '(' T_ID ')'
+			} '(' scoped_id ')'
 		{
 			struct sSymbol const *sym = sym_FindSymbol($4);
 			if (sym && !(sym_IsDefined(sym) && sym->type != SYM_LABEL))
diff --git a/src/asm/lexer.c b/src/asm/lexer.c
index 6cf73a56..558879ec 100644
--- a/src/asm/lexer.c
+++ b/src/asm/lexer.c
@@ -913,10 +913,18 @@ scanagain:
 				goto scanagain;
 		}
 
-		if (token->nToken == T_ID && linestart)
-			return T_LABEL;
-		else
-			return token->nToken;
+		uint32_t type = token->nToken;
+
+		if (type == T_ID && strchr(yylval.tzSym, '.'))
+			type = T_LOCAL_ID;
+
+		if (linestart) {
+			if (type == T_ID)
+				return T_LABEL;
+			if (type == T_LOCAL_ID)
+				return T_LOCAL_LABEL;
+		}
+		return type;
 	}
 
 	/* Longest match was a keyword or operator. */
diff --git a/test/asm/label-macro-arg.asm b/test/asm/label-macro-arg.asm
index 7fe0d6cb..24c1e040 100644
--- a/test/asm/label-macro-arg.asm
+++ b/test/asm/label-macro-arg.asm
@@ -40,6 +40,6 @@ ENDM
 	test_char _
 	test_char @
 	test_char #
-	test_char .
 
+	test_char .
 	test_char :
diff --git a/test/asm/label-macro-arg.err b/test/asm/label-macro-arg.err
index c1d8ae33..9350062d 100644
--- a/test/asm/label-macro-arg.err
+++ b/test/asm/label-macro-arg.err
@@ -1,5 +1,7 @@
-ERROR: label-macro-arg.asm(45) -> label-macro-arg.asm::test_char(31):
-    Label "sizeof_" created outside of a SECTION
+ERROR: label-macro-arg.asm(44) -> label-macro-arg.asm::test_char(31):
+    Local label in main scope
 while expanding symbol "VAR_DEF"
-ERROR: label-macro-arg.asm(45) -> label-macro-arg.asm::test_char(31):
-    Macro 'something' not defined
+ERROR: label-macro-arg.asm(44) -> label-macro-arg.asm::test_char(31):
+    syntax error
+while expanding symbol "VAR_DEF"
+error: Assembly aborted (2 errors)!
diff --git a/test/asm/label-macro-arg.out b/test/asm/label-macro-arg.out
index 0a5d086f..26e33473 100644
--- a/test/asm/label-macro-arg.out
+++ b/test/asm/label-macro-arg.out
@@ -5,4 +5,3 @@ $8
 sizeof__something equals $1
 sizeof_@something equals $1
 sizeof_#something equals $1
-sizeof_.something equals $1