diff --git a/src/index.ts b/src/index.ts
index 2eced5ba..ac96c40f 100644
--- a/src/index.ts
+++ b/src/index.ts
@@ -435,8 +435,17 @@ export const plugin: Plugin = {
 							break;
 						}
 						case 'interpolated-code':
-							if (previousToken && previousToken.type === 'tag') {
-								result += ' ';
+							if (previousToken) {
+								switch (previousToken.type) {
+									case 'tag':
+									case 'end-attributes':
+										result += ' ';
+										break;
+									case 'indent':
+										result = printIndent(previousToken, result, indent, indentLevel);
+										result += '| ';
+										break;
+								}
 							}
 							result += `#{${token.val}}`;
 							break;
diff --git a/test/issues/issue-27/formatted.pug b/test/issues/issue-27/formatted.pug
new file mode 100644
index 00000000..184725a8
--- /dev/null
+++ b/test/issues/issue-27/formatted.pug
@@ -0,0 +1,3 @@
+tag(key="value") #{identifier}
+tag
+  | #{identifier}
diff --git a/test/issues/issue-27/issue-27.test.ts b/test/issues/issue-27/issue-27.test.ts
new file mode 100644
index 00000000..fd207974
--- /dev/null
+++ b/test/issues/issue-27/issue-27.test.ts
@@ -0,0 +1,14 @@
+import { readFileSync } from 'fs';
+import { resolve } from 'path';
+import { format } from 'prettier';
+import { plugin } from './../../../src/index';
+
+describe('Issues', () => {
+	test('should interpolation', () => {
+		const expected: string = readFileSync(resolve(__dirname, 'formatted.pug'), 'utf8');
+		const code: string = readFileSync(resolve(__dirname, 'unformatted.pug'), 'utf8');
+		const actual: string = format(code, { parser: 'pug' as any, plugins: [plugin] });
+
+		expect(actual).toBe(expected);
+	});
+});
diff --git a/test/issues/issue-27/unformatted.pug b/test/issues/issue-27/unformatted.pug
new file mode 100644
index 00000000..3cc1f697
--- /dev/null
+++ b/test/issues/issue-27/unformatted.pug
@@ -0,0 +1,3 @@
+tag(key='value') #{identifier}
+tag
+  | #{identifier}