diff --git a/CHANGELOG.md b/CHANGELOG.md
index b963a6b..af8625c 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -3,6 +3,7 @@
 ## v1.0.5 - unreleased
 
 - Some general cleanup of the code, and adding ExplicitImports.jl tests for long term maintainability.
+- Fix the error when there is a positional vararg eg. `fn(a...; kw)` (#135)
 
 ## v1.0.4 - 2025-08-25
 
diff --git a/src/utils.jl b/src/utils.jl
index 383485b..5fc4e0d 100755
--- a/src/utils.jl
+++ b/src/utils.jl
@@ -66,8 +66,16 @@ Function returning the slots of a function definition
 function get_slots(func_def::Dict, args::Dict{Symbol, Any}, mod::Module)
   slots = Dict{Symbol, Any}()
   func_def[:name] = gensym()
+  
+  if !isempty(func_def[:args]) && !isempty(func_def[:kwargs])
+    name, type, splat, default = splitarg(last(func_def[:args]))
+    # if the final arg is a splat, appending kwargs like we do below causes error
+    # so set it as non-splat, since we only care about names here anyway
+    func_def[:args][end] = combinearg(name, type, false, default)
+  end
   func_def[:args] = (func_def[:args]..., func_def[:kwargs]...)
   func_def[:kwargs] = []
+
   # replace yield with inference barrier
   func_def[:body] = postwalk(transform_yield, func_def[:body])
   # collect items to skip
@@ -75,6 +83,7 @@ function get_slots(func_def::Dict, args::Dict{Symbol, Any}, mod::Module)
   func_def[:body] = postwalk(x->transform_nosave(x, nosaves), func_def[:body])
   # eval function
   func_expr = combinedef(func_def) |> flatten
+  @debug func_expr |> striplines
   inferfn = @eval(mod, @noinline $func_expr)
   #@info func_def[:body] |> striplines
   # get typed code
diff --git a/test/test_main.jl b/test/test_main.jl
index 214fa1e..76593f0 100644
--- a/test/test_main.jl
+++ b/test/test_main.jl
@@ -80,6 +80,18 @@ end
 @test collect(test_varargs(1, 2, 3)) == [1, 2, 3]
 end
 
+@resumable function test_varargs_kwargs(a...; k...)
+  @yield a
+  @yield k
+end
+
+@testset "test_varargs_kwargs" begin
+  it = test_varargs_kwargs(1, 2, x=3, y=4)
+  res = collect(it)
+  @test res[1] == (1, 2)
+  @test Dict(res[2]) == Dict(:x => 3, :y => 4)
+end
+
 @testset "test_let" begin
   @resumable function test_let()
     for u in [[(1,2),(3,4)], [(5,6),(7,8)]]