diff --git a/gcc/cp/ChangeLog b/gcc/cp/ChangeLog
index a31d114374f..e980456918e 100644
--- a/gcc/cp/ChangeLog
+++ b/gcc/cp/ChangeLog
@@ -1,3 +1,9 @@
+2017-04-07  Jason Merrill  <jason@redhat.com>
+
+	PR c++/80267 - ICE with nested capture of reference
+	PR c++/60992
+	* pt.c (tsubst_copy): Handle lookup finding a capture proxy.
+
 2017-04-07  Marek Polacek  <polacek@redhat.com>
 
 	PR sanitizer/80348
diff --git a/gcc/cp/pt.c b/gcc/cp/pt.c
index f9f4921a11a..2d1e81fffd1 100644
--- a/gcc/cp/pt.c
+++ b/gcc/cp/pt.c
@@ -14566,7 +14566,7 @@ tsubst_copy (tree t, tree args, tsubst_flags_t complain, tree in_decl)
 	    {
 	      /* First try name lookup to find the instantiation.  */
 	      r = lookup_name (DECL_NAME (t));
-	      if (r)
+	      if (r && !is_capture_proxy (r))
 		{
 		  /* Make sure that the one we found is the one we want.  */
 		  tree ctx = DECL_CONTEXT (t);
diff --git a/gcc/testsuite/g++.dg/cpp0x/lambda/lambda-nested6.C b/gcc/testsuite/g++.dg/cpp0x/lambda/lambda-nested6.C
new file mode 100644
index 00000000000..58dfe3c908f
--- /dev/null
+++ b/gcc/testsuite/g++.dg/cpp0x/lambda/lambda-nested6.C
@@ -0,0 +1,12 @@
+// PR c++/80267
+// { dg-do compile { target c++11 } }
+
+template <typename> void a() {
+  int b;
+  auto &c = b;
+  [&] {
+    c;
+    [&] { c; };
+  };
+}
+void d() { a<int>(); }