diff --git a/lib/compress.js b/lib/compress.js
index 3b735b96..b1554863 100644
--- a/lib/compress.js
+++ b/lib/compress.js
@@ -1950,20 +1950,18 @@ Compressor.prototype.compress = function(node) {
         return statements;
 
         function last_of(compressor, predicate) {
-            var block = compressor.self(), level = 0;
+            var block = compressor.self(), level = 0, stat;
             do {
                 if (block instanceof AST_Catch) {
                     block = compressor.parent(level++);
                 } else if (block instanceof AST_LabeledStatement) {
                     block = block.body;
                 }
-                var stat = null;
-                while (true) {
-                    if (predicate(block)) return true;
-                    block = compressor.parent(level++);
-                    if (!(block instanceof AST_If)) break;
+                do {
                     stat = block;
-                }
+                    if (predicate(stat)) return stat;
+                    block = compressor.parent(level++);
+                } while (block instanceof AST_If);
             } while (stat
                 && (block instanceof AST_BlockStatement
                     || block instanceof AST_Catch
@@ -3411,7 +3409,8 @@ Compressor.prototype.compress = function(node) {
                 var j = next_index(i);
                 var next = statements[j];
 
-                if (in_lambda && !next && stat instanceof AST_Return) {
+                if (in_lambda && !next && stat instanceof AST_Return
+                    && !(in_try && in_try.bfinally && in_async_generator(in_lambda))) {
                     if (!stat.value) {
                         changed = true;
                         statements.splice(i, 1);
@@ -3550,7 +3549,10 @@ Compressor.prototype.compress = function(node) {
                 if (stat instanceof AST_Exit) {
                     exit = stat;
                     exit_defs = null;
+                    continue;
                 }
+
+                if (exit && exit === next) eliminate_returns(stat);
             }
             return changed;
 
@@ -3571,24 +3573,36 @@ Compressor.prototype.compress = function(node) {
                 });
             }
 
+            function match_return(ab) {
+                if (!exit) return false;
+                if (exit.TYPE != ab.TYPE) return false;
+                var value = ab.value;
+                var equals = exit.equivalent_to(ab);
+                if (!equals && value instanceof AST_Sequence) {
+                    value = value.tail_node();
+                    equals = exit.value ? exit.value.equivalent_to(value) : is_undefined(value);
+                }
+                if (!equals) return false;
+                if (exit_defs == null) {
+                    exit_defs = new Dictionary();
+                    exit.walk(new TreeWalker(function(node) {
+                        if (node instanceof AST_SymbolRef) exit_defs.set(node.name, node.definition());
+                    }));
+                    if (!exit_defs.size()) exit_defs = false;
+                }
+                var abort = false;
+                if (value && exit_defs) value.walk(new TreeWalker(function(node) {
+                    if (abort) return true;
+                    if (node instanceof AST_SymbolRef && exit_defs.get(node.name) !== node.definition()) {
+                        return abort = true;
+                    }
+                }));
+                return !abort;
+            }
+
             function can_drop_abort(ab) {
                 if (ab instanceof AST_Exit) {
-                    if (exit && exit.equivalent_to(ab)) {
-                        if (!exit_defs) {
-                            exit_defs = new Dictionary();
-                            exit.walk(new TreeWalker(function(node) {
-                                if (node instanceof AST_SymbolRef) exit_defs.set(node.name, node.definition());
-                            }));
-                        }
-                        var abort = false;
-                        ab.walk(new TreeWalker(function(node) {
-                            if (abort) return true;
-                            if (node instanceof AST_SymbolRef && exit_defs.get(node.name) !== node.definition()) {
-                                return abort = true;
-                            }
-                        }));
-                        if (!abort) return merge_exit = true;
-                    }
+                    if (match_return(ab)) return merge_exit = true;
                     return in_lambda && ab instanceof AST_Return && is_undefined(ab.value);
                 }
                 if (!(ab instanceof AST_LoopControl)) return false;
@@ -3640,6 +3654,15 @@ Compressor.prototype.compress = function(node) {
                 return tail;
             }
 
+            function trim_return(value) {
+                if (!value) return;
+                if (exit.value) {
+                    if (exit.value.TYPE == value.TYPE) return;
+                    if (value instanceof AST_Sequence) return make_sequence(value, value.expressions.slice(0, -1));
+                }
+                return value;
+            }
+
             function as_statement_array_with_return(node, ab) {
                 var body = as_statement_array(node);
                 var block = body, last;
@@ -3647,7 +3670,9 @@ Compressor.prototype.compress = function(node) {
                     block = last.body;
                 }
                 block.pop();
-                if (!merge_exit && ab.value) block.push(make_node(AST_SimpleStatement, ab.value, { body: ab.value }));
+                var value = ab.value;
+                if (merge_exit) value = trim_return(value);
+                if (value) block.push(make_node(AST_SimpleStatement, value, { body: value }));
                 return body;
             }
 
@@ -3683,6 +3708,31 @@ Compressor.prototype.compress = function(node) {
                 if (var_defs.length > 0) args.push(make_node(AST_Var, stat, { definitions: var_defs }));
                 return args;
             }
+
+            function eliminate_returns(stat, in_block) {
+                if (stat instanceof AST_Exit) {
+                    if (match_return(stat)) {
+                        var value = trim_return(stat.value);
+                        if (value) return make_node(AST_SimpleStatement, value, { body: value });
+                        return in_block ? null : make_node(AST_EmptyStatement, stat);
+                    }
+                } else if (stat instanceof AST_If) {
+                    stat.body = eliminate_returns(stat.body);
+                    if (stat.alternative) stat.alternative = eliminate_returns(stat.alternative);
+                } else if (stat instanceof AST_LabeledStatement) {
+                    stat.body = eliminate_returns(stat.body);
+                } else if (stat instanceof AST_Try) {
+                    if (!stat.bfinally || !exit.value || exit.value.is_constant()) {
+                        if (stat.bcatch) eliminate_returns(stat.bcatch);
+                        var trimmed = eliminate_returns(stat.body.pop(), true);
+                        if (trimmed) stat.body.push(trimmed);
+                    }
+                } else if (stat instanceof AST_Block && !(stat instanceof AST_Scope || stat instanceof AST_Switch)) {
+                    var trimmed = eliminate_returns(stat.body.pop(), true);
+                    if (trimmed) stat.body.push(trimmed);
+                }
+                return stat;
+            }
         }
 
         function eliminate_dead_code(statements, compressor) {
@@ -10867,7 +10917,10 @@ Compressor.prototype.compress = function(node) {
                         append_var(decls, expressions, symbol);
                         if (value) expressions.push(value);
                     } else {
-                        if (!value && in_loop && argname === name) value = make_node(AST_Undefined, self);
+                        if (!value && argname === name && (in_loop
+                            || name.name == "arguments" && !is_arrow(fn) && is_arrow(scope))) {
+                            value = make_node(AST_Undefined, self);
+                        }
                         append_var(decls, expressions, symbol, value);
                     }
                 }
diff --git a/test/compress/arrows.js b/test/compress/arrows.js
index b0c820b3..b8837fb7 100644
--- a/test/compress/arrows.js
+++ b/test/compress/arrows.js
@@ -1073,7 +1073,7 @@ issue_5414_2: {
     node_version: ">=4"
 }
 
-issue_5416: {
+issue_5416_1: {
     options = {
         dead_code: true,
         evaluate: true,
@@ -1095,10 +1095,11 @@ issue_5416: {
     expect: {
         var f = () => {
             {
-                arguments = void 0;
                 console;
+                arguments = void 0,
                 console.log(arguments);
                 var arguments;
+                return;
             }
         };
         f();
@@ -1107,6 +1108,97 @@ issue_5416: {
     node_version: ">=4"
 }
 
+issue_5416_2: {
+    options = {
+        dead_code: true,
+        evaluate: true,
+        inline: true,
+        loops: true,
+        unused: true,
+    }
+    input: {
+        var f = () => {
+            while ((() => {
+                console;
+                var a = function g(arguments) {
+                    while (console.log(arguments));
+                }();
+            })());
+        };
+        f();
+    }
+    expect: {
+        var f = () => {
+            {
+                console;
+                var arguments = void 0;
+                for (; console.log(arguments););
+                return;
+            }
+        };
+        f();
+    }
+    expect_stdout: "undefined"
+    node_version: ">=4"
+}
+
+issue_5416_3: {
+    options = {
+        inline: true,
+        side_effects: true,
+        unused: true,
+    }
+    input: {
+        var f = () => {
+            (() => {
+                var a = function g(arguments) {
+                    console.log(arguments);
+                }();
+            })();
+        };
+        f();
+    }
+    expect: {
+        var f = () => {
+            arguments = void 0,
+            console.log(arguments);
+            var arguments;
+        };
+        f();
+    }
+    expect_stdout: "undefined"
+    node_version: ">=4"
+}
+
+issue_5416_4: {
+    options = {
+        arrows: true,
+        inline: true,
+        side_effects: true,
+        unused: true,
+    }
+    input: {
+        var f = () => {
+            (() => {
+                var a = function g(arguments) {
+                    while (console.log(arguments));
+                }();
+            })();
+        };
+        f();
+    }
+    expect: {
+        var f = () => {
+            var arguments = void 0;
+            while (console.log(arguments));
+            return;
+        };
+        f();
+    }
+    expect_stdout: "undefined"
+    node_version: ">=4"
+}
+
 issue_5495: {
     input: {
         console.log((() => {
diff --git a/test/compress/conditionals.js b/test/compress/conditionals.js
index d977f82f..89b790a1 100644
--- a/test/compress/conditionals.js
+++ b/test/compress/conditionals.js
@@ -1731,7 +1731,7 @@ issue_3576: {
     expect_stdout: "PASS"
 }
 
-issue_3668: {
+issue_3668_1: {
     options = {
         conditionals: true,
         if_return: true,
@@ -1748,6 +1748,38 @@ issue_3668: {
         }
         console.log(f());
     }
+    expect: {
+        function f() {
+            try {
+                var undefined = typeof f;
+                if (!f) return undefined;
+            } catch (e) {
+                return "FAIL";
+            }
+        }
+        console.log(f());
+    }
+    expect_stdout: "undefined"
+}
+
+issue_3668_2: {
+    options = {
+        conditionals: true,
+        if_return: true,
+    }
+    input: {
+        function f() {
+            try {
+                var undefined = typeof f;
+                if (!f) return undefined;
+                return;
+            } catch (e) {
+                return "FAIL";
+            }
+            FAIL;
+        }
+        console.log(f());
+    }
     expect: {
         function f() {
             try {
@@ -1756,6 +1788,7 @@ issue_3668: {
             } catch (e) {
                 return "FAIL";
             }
+            FAIL;
         }
         console.log(f());
     }
diff --git a/test/compress/if_return.js b/test/compress/if_return.js
index 7c15c927..e4e32f1c 100644
--- a/test/compress/if_return.js
+++ b/test/compress/if_return.js
@@ -1017,3 +1017,302 @@ issue_5523: {
     }
     expect_stdout: "undefined"
 }
+
+drop_catch: {
+    options = {
+        if_return: true,
+    }
+    input: {
+        function f() {
+            try {
+                throw 42;
+            } catch (e) {
+                return console.log("foo"), "bar";
+            } finally {
+                console.log("baz");
+            }
+            return "bar";
+        }
+        console.log(f());
+    }
+    expect: {
+        function f() {
+            try {
+                throw 42;
+            } catch (e) {
+                console.log("foo");
+            } finally {
+                console.log("baz");
+            }
+            return "bar";
+        }
+        console.log(f());
+    }
+    expect_stdout: [
+        "foo",
+        "baz",
+        "bar",
+    ]
+}
+
+retain_catch: {
+    options = {
+        if_return: true,
+    }
+    input: {
+        function f() {
+            try {
+                throw 42;
+            } catch (e) {
+                return console.log("foo");
+            } finally {
+                console.log("bar");
+            }
+            return console.log("foo");
+        }
+        f();
+    }
+    expect: {
+        function f() {
+            try {
+                throw 42;
+            } catch (e) {
+                return console.log("foo");
+            } finally {
+                console.log("bar");
+            }
+            return console.log("foo");
+        }
+        f();
+    }
+    expect_stdout: [
+        "foo",
+        "bar",
+    ]
+}
+
+retain_finally: {
+    options = {
+        if_return: true,
+    }
+    input: {
+        function f() {
+            try {
+                return console.log("foo"), FAIL;
+            } catch (e) {
+                return console.log("bar"), "FAIL";
+            } finally {
+                return console.log("baz"), console.log("moo");
+            }
+            return console.log("moo");
+        }
+        console.log(f());
+    }
+    expect: {
+        function f() {
+            try {
+                return console.log("foo"), FAIL;
+            } catch (e) {
+                return console.log("bar"), "FAIL";
+            } finally {
+                return console.log("baz"), console.log("moo");
+            }
+            return console.log("moo");
+        }
+        console.log(f());
+    }
+    expect_stdout: [
+        "foo",
+        "bar",
+        "baz",
+        "moo",
+        "undefined",
+    ]
+}
+
+drop_try: {
+    options = {
+        if_return: true,
+    }
+    input: {
+        function f() {
+            try {
+                return console.log("foo"), "bar";
+            } finally {
+                console.log("baz");
+            }
+            return "bar";
+        }
+        console.log(f());
+    }
+    expect: {
+        function f() {
+            try {
+                console.log("foo");
+            } finally {
+                console.log("baz");
+            }
+            return "bar";
+        }
+        console.log(f());
+    }
+    expect_stdout: [
+        "foo",
+        "baz",
+        "bar",
+    ]
+}
+
+retain_try: {
+    options = {
+        if_return: true,
+    }
+    input: {
+        function f() {
+            try {
+                return console.log("foo");
+            } finally {
+                console.log("bar");
+            }
+            return console.log("foo");
+        }
+        f();
+    }
+    expect: {
+        function f() {
+            try {
+                return console.log("foo");
+            } finally {
+                console.log("bar");
+            }
+            return console.log("foo");
+        }
+        f();
+    }
+    expect_stdout: [
+        "foo",
+        "bar",
+    ]
+}
+
+drop_try_catch: {
+    options = {
+        if_return: true,
+    }
+    input: {
+        function f(a) {
+            try {
+                if (a())
+                    return console.log("foo"), console.log("baz");
+            } catch (e) {
+                return console.log("bar"), console.log("baz");
+            }
+            return console.log("baz");
+        }
+        f(function() {
+            return 42;
+        });
+        f(function() {});
+        f();
+    }
+    expect: {
+        function f(a) {
+            try {
+                if (a())
+                    console.log("foo");
+            } catch (e) {
+                console.log("bar");
+            }
+            return console.log("baz");
+        }
+        f(function() {
+            return 42;
+        });
+        f(function() {});
+        f();
+    }
+    expect_stdout: [
+        "foo",
+        "baz",
+        "baz",
+        "bar",
+        "baz",
+    ]
+}
+
+empty_try: {
+    options = {
+        if_return: true,
+        reduce_vars: true,
+        unused: true,
+    }
+    input: {
+        console.log(function() {
+            return f;
+            function f() {
+                try {} finally {}
+                return "PASS";
+            }
+        }()());
+    }
+    expect: {
+        console.log(function() {
+            return function() {
+                try {} finally {}
+                return "PASS";
+            };
+        }()());
+    }
+    expect_stdout: "PASS"
+}
+
+sequence_void_1: {
+    options = {
+        if_return: true,
+    }
+    input: {
+        function f() {
+            {
+                if (console)
+                    return console, void console.log("PASS");
+                return;
+            }
+        }
+        f();
+    }
+    expect: {
+        function f() {
+            if (console)
+                return console, void console.log("PASS");
+        }
+        f();
+    }
+    expect_stdout: "PASS"
+}
+
+sequence_void_2: {
+    options = {
+        if_return: true,
+    }
+    input: {
+        function f() {
+            {
+                if (console)
+                    return console, void console.log("PASS");
+                return;
+            }
+            FAIL;
+        }
+        f();
+    }
+    expect: {
+        function f() {
+            if (console)
+                console, void console.log("PASS");
+            return;
+            FAIL;
+        }
+        f();
+    }
+    expect_stdout: "PASS"
+}
diff --git a/test/compress/let.js b/test/compress/let.js
index 83e69e85..b8181c4b 100644
--- a/test/compress/let.js
+++ b/test/compress/let.js
@@ -1659,7 +1659,7 @@ issue_4438: {
         function f() {
             if (console) {
                 let a = console.log;
-                void a("PASS");
+                a("PASS");
             }
         }
         f();
diff --git a/test/compress/yields.js b/test/compress/yields.js
index e4ca2bd8..aec847bd 100644
--- a/test/compress/yields.js
+++ b/test/compress/yields.js
@@ -1183,6 +1183,35 @@ issue_4641_2: {
     node_version: ">=10"
 }
 
+issue_4641_3: {
+    options = {
+        if_return: true,
+    }
+    input: {
+        console.log(typeof async function*() {
+            try {
+                return void "FAIL";
+            } finally {
+                console.log("PASS");
+            }
+        }().next().then);
+    }
+    expect: {
+        console.log(typeof async function*() {
+            try {
+                return void "FAIL";
+            } finally {
+                console.log("PASS");
+            }
+        }().next().then);
+    }
+    expect_stdout: [
+        "function",
+        "PASS",
+    ]
+    node_version: ">=10"
+}
+
 issue_4769_1: {
     options = {
         side_effects: true,