diff --git a/pmd-java/etc/grammar/Java.jjt b/pmd-java/etc/grammar/Java.jjt
index c2a67da487..8f27be423c 100644
--- a/pmd-java/etc/grammar/Java.jjt
+++ b/pmd-java/etc/grammar/Java.jjt
@@ -1079,8 +1079,8 @@ void PermittedSubclasses() #PermitsList:
           throw new ParseException("ERROR: expecting permits");
         }
     }
-    TypeName()
-    ( "," TypeName() )*
+    ClassOrInterfaceType()
+    ( "," ClassOrInterfaceType() )*
 }
 
 void EnumDeclaration():
@@ -1355,20 +1355,6 @@ void Initializer() :
   [ "static" {jjtThis.setStatic();} ] Block()
 }
 
-void TypeName() #ClassOrInterfaceType:
-{
-  StringBuilder s = new StringBuilder();
-  Token t;
-}
-{
-    t=<IDENTIFIER> {s.append(t.image);}
-    ( "." t=<IDENTIFIER> {s.append('.').append(t.image);} )*
-    {jjtThis.setImage(s.toString());}
-}
-
-
-
-
 /* JLS: https://docs.oracle.com/javase/specs/jls/se8/html/jls-4.html#jls-4.3
 
 ReferenceType:
diff --git a/pmd-java/src/test/java/net/sourceforge/pmd/lang/java/ast/Java17TreeDumpTest.java b/pmd-java/src/test/java/net/sourceforge/pmd/lang/java/ast/Java17TreeDumpTest.java
index 5b1b36b4f5..96c4390e0f 100644
--- a/pmd-java/src/test/java/net/sourceforge/pmd/lang/java/ast/Java17TreeDumpTest.java
+++ b/pmd-java/src/test/java/net/sourceforge/pmd/lang/java/ast/Java17TreeDumpTest.java
@@ -54,6 +54,12 @@ public class Java17TreeDumpTest extends BaseTreeDumpTest {
         java17p.parseResource("geometry/Square.java"); // make sure we can parse it with preview as well
     }
 
+    @Test
+    public void sealedQualifiedPermitClass() {
+        doTest("SealedInnerClasses");
+        java17p.parseResource("SealedInnerClasses.java"); // make sure we can parse it with preview as well
+    }
+
     @Test
     public void sealedInterfaceBeforeJava17() {
         ParseException thrown = Assert.assertThrows(ParseException.class, new ThrowingRunnable() {
diff --git a/pmd-java/src/test/resources/net/sourceforge/pmd/lang/java/ast/jdkversiontests/java17/SealedInnerClasses.java b/pmd-java/src/test/resources/net/sourceforge/pmd/lang/java/ast/jdkversiontests/java17/SealedInnerClasses.java
new file mode 100644
index 0000000000..46d5f975e6
--- /dev/null
+++ b/pmd-java/src/test/resources/net/sourceforge/pmd/lang/java/ast/jdkversiontests/java17/SealedInnerClasses.java
@@ -0,0 +1,12 @@
+/*
+ * BSD-style license; for more info see http://pmd.sourceforge.net/license.html
+ */
+
+public class SealedInnerClasses {
+    sealed class Square implements Squircle {
+        non-sealed private class OtherSquare extends Square {}
+        static non-sealed class StaticClass implements Squircle {}
+    }
+
+    sealed interface Squircle permits Square, Square.StaticClass {}
+}
diff --git a/pmd-java/src/test/resources/net/sourceforge/pmd/lang/java/ast/jdkversiontests/java17/SealedInnerClasses.txt b/pmd-java/src/test/resources/net/sourceforge/pmd/lang/java/ast/jdkversiontests/java17/SealedInnerClasses.txt
new file mode 100644
index 0000000000..7a0146f1f3
--- /dev/null
+++ b/pmd-java/src/test/resources/net/sourceforge/pmd/lang/java/ast/jdkversiontests/java17/SealedInnerClasses.txt
@@ -0,0 +1,26 @@
++- CompilationUnit[@PackageName = "", @declarationsAreInDefaultPackage = "true"]
+   +- ClassOrInterfaceDeclaration[@Abstract = "false", @Annotation = "false", @Anonymous = "false", @BinaryName = "SealedInnerClasses", @CanonicalName = "SealedInnerClasses", @EffectiveVisibility = "public", @Enum = "false", @Final = "false", @Image = "SealedInnerClasses", @Interface = "false", @Local = "false", @Native = "false", @Nested = "false", @PackageName = "", @PackagePrivate = "false", @Private = "false", @Protected = "false", @Public = "true", @Record = "false", @RegularClass = "true", @RegularInterface = "false", @SimpleName = "SealedInnerClasses", @Static = "false", @Strictfp = "false", @Synchronized = "false", @SyntacticallyAbstract = "false", @SyntacticallyFinal = "false", @SyntacticallyPublic = "true", @SyntacticallyStatic = "false", @TopLevel = "true", @Transient = "false", @Visibility = "public", @Volatile = "false"]
+      +- ModifierList[]
+      +- ClassOrInterfaceBody[@Size = "2"]
+         +- ClassOrInterfaceDeclaration[@Abstract = "false", @Annotation = "false", @Anonymous = "false", @BinaryName = "SealedInnerClasses$Square", @CanonicalName = "SealedInnerClasses.Square", @EffectiveVisibility = "package", @Enum = "false", @Final = "false", @Image = "Square", @Interface = "false", @Local = "false", @Native = "false", @Nested = "true", @PackageName = "", @PackagePrivate = "true", @Private = "false", @Protected = "false", @Public = "false", @Record = "false", @RegularClass = "true", @RegularInterface = "false", @SimpleName = "Square", @Static = "false", @Strictfp = "false", @Synchronized = "false", @SyntacticallyAbstract = "false", @SyntacticallyFinal = "false", @SyntacticallyPublic = "false", @SyntacticallyStatic = "false", @TopLevel = "false", @Transient = "false", @Visibility = "package", @Volatile = "false"]
+         |  +- ModifierList[]
+         |  +- ImplementsList[@Size = "1"]
+         |  |  +- ClassOrInterfaceType[@ArrayDepth = "0", @ArrayType = "false", @ClassOrInterfaceType = "true", @FullyQualified = "false", @PrimitiveType = "false", @ReferenceToClassSameCompilationUnit = "false", @SimpleName = "Squircle", @TypeImage = "Squircle"]
+         |  +- ClassOrInterfaceBody[@Size = "2"]
+         |     +- ClassOrInterfaceDeclaration[@Abstract = "false", @Annotation = "false", @Anonymous = "false", @BinaryName = "SealedInnerClasses$Square$OtherSquare", @CanonicalName = "SealedInnerClasses.Square.OtherSquare", @EffectiveVisibility = "private", @Enum = "false", @Final = "false", @Image = "OtherSquare", @Interface = "false", @Local = "false", @Native = "false", @Nested = "true", @PackageName = "", @PackagePrivate = "false", @Private = "true", @Protected = "false", @Public = "false", @Record = "false", @RegularClass = "true", @RegularInterface = "false", @SimpleName = "OtherSquare", @Static = "false", @Strictfp = "false", @Synchronized = "false", @SyntacticallyAbstract = "false", @SyntacticallyFinal = "false", @SyntacticallyPublic = "false", @SyntacticallyStatic = "false", @TopLevel = "false", @Transient = "false", @Visibility = "private", @Volatile = "false"]
+         |     |  +- ModifierList[]
+         |     |  +- ExtendsList[@Size = "1"]
+         |     |  |  +- ClassOrInterfaceType[@ArrayDepth = "0", @ArrayType = "false", @ClassOrInterfaceType = "true", @FullyQualified = "false", @PrimitiveType = "false", @ReferenceToClassSameCompilationUnit = "false", @SimpleName = "Square", @TypeImage = "Square"]
+         |     |  +- ClassOrInterfaceBody[@Size = "0"]
+         |     +- ClassOrInterfaceDeclaration[@Abstract = "false", @Annotation = "false", @Anonymous = "false", @BinaryName = "SealedInnerClasses$Square$StaticClass", @CanonicalName = "SealedInnerClasses.Square.StaticClass", @EffectiveVisibility = "package", @Enum = "false", @Final = "false", @Image = "StaticClass", @Interface = "false", @Local = "false", @Native = "false", @Nested = "true", @PackageName = "", @PackagePrivate = "true", @Private = "false", @Protected = "false", @Public = "false", @Record = "false", @RegularClass = "true", @RegularInterface = "false", @SimpleName = "StaticClass", @Static = "true", @Strictfp = "false", @Synchronized = "false", @SyntacticallyAbstract = "false", @SyntacticallyFinal = "false", @SyntacticallyPublic = "false", @SyntacticallyStatic = "true", @TopLevel = "false", @Transient = "false", @Visibility = "package", @Volatile = "false"]
+         |        +- ModifierList[]
+         |        +- ImplementsList[@Size = "1"]
+         |        |  +- ClassOrInterfaceType[@ArrayDepth = "0", @ArrayType = "false", @ClassOrInterfaceType = "true", @FullyQualified = "false", @PrimitiveType = "false", @ReferenceToClassSameCompilationUnit = "false", @SimpleName = "Squircle", @TypeImage = "Squircle"]
+         |        +- ClassOrInterfaceBody[@Size = "0"]
+         +- ClassOrInterfaceDeclaration[@Abstract = "true", @Annotation = "false", @Anonymous = "false", @BinaryName = "SealedInnerClasses$Squircle", @CanonicalName = "SealedInnerClasses.Squircle", @EffectiveVisibility = "package", @Enum = "false", @Final = "false", @Image = "Squircle", @Interface = "true", @Local = "false", @Native = "false", @Nested = "true", @PackageName = "", @PackagePrivate = "true", @Private = "false", @Protected = "false", @Public = "false", @Record = "false", @RegularClass = "false", @RegularInterface = "true", @SimpleName = "Squircle", @Static = "true", @Strictfp = "false", @Synchronized = "false", @SyntacticallyAbstract = "false", @SyntacticallyFinal = "false", @SyntacticallyPublic = "false", @SyntacticallyStatic = "false", @TopLevel = "false", @Transient = "false", @Visibility = "package", @Volatile = "false"]
+            +- ModifierList[]
+            +- PermitsList[@Size = "2"]
+            |  +- ClassOrInterfaceType[@ArrayDepth = "0", @ArrayType = "false", @ClassOrInterfaceType = "true", @FullyQualified = "false", @PrimitiveType = "false", @ReferenceToClassSameCompilationUnit = "false", @SimpleName = "Square", @TypeImage = "Square"]
+            |  +- ClassOrInterfaceType[@ArrayDepth = "0", @ArrayType = "false", @ClassOrInterfaceType = "true", @FullyQualified = "false", @PrimitiveType = "false", @ReferenceToClassSameCompilationUnit = "false", @SimpleName = "StaticClass", @TypeImage = "StaticClass"]
+            |     +- ClassOrInterfaceType[@ArrayDepth = "0", @ArrayType = "false", @ClassOrInterfaceType = "true", @FullyQualified = "false", @PrimitiveType = "false", @ReferenceToClassSameCompilationUnit = "false", @SimpleName = "Square", @TypeImage = "Square"]
+            +- ClassOrInterfaceBody[@Size = "0"]