diff --git a/ethcore/src/client/client.rs b/ethcore/src/client/client.rs
index ade0844ec..6bb445399 100644
--- a/ethcore/src/client/client.rs
+++ b/ethcore/src/client/client.rs
@@ -1840,6 +1840,8 @@ impl BlockChainClient for Client {
 }
 
 impl MiningBlockChainClient for Client {
+	fn as_block_chain_client(&self) -> &BlockChainClient { self }
+
 	fn latest_schedule(&self) -> Schedule {
 		self.engine.schedule(self.latest_env_info().number)
 	}
diff --git a/ethcore/src/client/test_client.rs b/ethcore/src/client/test_client.rs
index d06f94768..cc2f08bab 100644
--- a/ethcore/src/client/test_client.rs
+++ b/ethcore/src/client/test_client.rs
@@ -365,6 +365,8 @@ pub fn get_temp_state_db() -> GuardedTempResult<StateDB> {
 }
 
 impl MiningBlockChainClient for TestBlockChainClient {
+	fn as_block_chain_client(&self) -> &BlockChainClient { self }
+
 	fn latest_schedule(&self) -> Schedule {
 		Schedule::new_post_eip150(24576, true, true, true)
 	}
diff --git a/ethcore/src/client/traits.rs b/ethcore/src/client/traits.rs
index 3ff60baf9..58a05e4e0 100644
--- a/ethcore/src/client/traits.rs
+++ b/ethcore/src/client/traits.rs
@@ -308,6 +308,9 @@ pub trait MiningBlockChainClient: BlockChainClient {
 
 	/// Returns latest schedule.
 	fn latest_schedule(&self) -> Schedule;
+
+	/// Returns base of this trait
+	fn as_block_chain_client(&self) -> &BlockChainClient;
 }
 
 /// Client facilities used by internally sealing Engines.
diff --git a/ethcore/src/miner/miner.rs b/ethcore/src/miner/miner.rs
index df82a926c..16d3e94d4 100644
--- a/ethcore/src/miner/miner.rs
+++ b/ethcore/src/miner/miner.rs
@@ -410,6 +410,7 @@ impl Miner {
 		};
 
 		let mut invalid_transactions = HashSet::new();
+		let mut non_allowed_transactions = HashSet::new();
 		let mut transactions_to_penalize = HashSet::new();
 		let block_number = open_block.block().fields().header.number();
 
@@ -418,7 +419,15 @@ impl Miner {
 		for tx in transactions {
 			let hash = tx.hash();
 			let start = Instant::now();
-			let result = open_block.push_transaction(tx, None);
+			// Check whether transaction type is allowed for sender
+			let result = match self.engine.machine().verify_transaction(&tx, open_block.header(), chain.as_block_chain_client()) {
+				Err(Error::Transaction(TransactionError::NotAllowed)) => {
+					Err(TransactionError::NotAllowed.into())
+				}
+				_ => {
+					open_block.push_transaction(tx, None)
+				}
+			};
 			let took = start.elapsed();
 
 			// Check for heavy transactions
@@ -459,6 +468,12 @@ impl Miner {
 				},
 				// already have transaction - ignore
 				Err(Error::Transaction(TransactionError::AlreadyImported)) => {},
+				Err(Error::Transaction(TransactionError::NotAllowed)) => {
+					non_allowed_transactions.insert(hash);
+					debug!(target: "miner",
+						   "Skipping non-allowed transaction for sender {:?}",
+						   hash);
+				},
 				Err(e) => {
 					invalid_transactions.insert(hash);
 					debug!(target: "miner",
@@ -481,6 +496,9 @@ impl Miner {
 			for hash in invalid_transactions {
 				queue.remove(&hash, &fetch_nonce, RemovalReason::Invalid);
 			}
+			for hash in non_allowed_transactions {
+				queue.remove(&hash, &fetch_nonce, RemovalReason::NotAllowed);
+			}
 			for hash in transactions_to_penalize {
 				queue.penalize(&hash);
 			}
@@ -679,6 +697,9 @@ impl Miner {
 						Err(e)
 					},
 					Ok(transaction) => {
+						// This check goes here because verify_transaction takes SignedTransaction parameter
+						self.engine.machine().verify_transaction(&transaction, &best_block_header, client.as_block_chain_client())?;
+
 						let origin = self.accounts.as_ref().and_then(|accounts| {
 							match accounts.has_account(transaction.sender()).unwrap_or(false) {
 								true => Some(TransactionOrigin::Local),
diff --git a/ethcore/src/miner/transaction_queue.rs b/ethcore/src/miner/transaction_queue.rs
index f553e187e..efc2b4f03 100644
--- a/ethcore/src/miner/transaction_queue.rs
+++ b/ethcore/src/miner/transaction_queue.rs
@@ -543,6 +543,8 @@ pub enum RemovalReason {
 	Invalid,
 	/// Transaction was canceled
 	Canceled,
+	/// Transaction is not allowed,
+	NotAllowed,
 }
 
 /// Point in time when transaction was inserted.
@@ -1012,6 +1014,9 @@ impl TransactionQueue {
 				RemovalReason::Invalid => self.local_transactions.mark_invalid(
 					transaction.transaction.into()
 				),
+				RemovalReason::NotAllowed => self.local_transactions.mark_invalid(
+					transaction.transaction.into()
+				),
 				RemovalReason::Canceled => self.local_transactions.mark_canceled(
 					PendingTransaction::new(transaction.transaction, transaction.condition)
 				),