diff --git a/Header.pas b/Header.pas
index ad434a8..065cc2c 100644
--- a/Header.pas
+++ b/Header.pas
@@ -872,7 +872,8 @@ procedure EndInclude {chPtr: ptr};
                         | (ord(allowLongIntChar) << 1)
                         | (ord(allowTokensAfterEndif) << 2)
                         | (ord(allowSlashSlashComments) << 3)
-                        | (ord(allowMixedDeclarations) << 4));
+                        | (ord(allowMixedDeclarations) << 4)
+                        | (ord(looseCharTypeChecks) << 5));
 
                   p_segment: begin
                      for i := 1 to 10 do begin
@@ -1524,6 +1525,7 @@ var
             allowSlashSlashComments := odd(i >> 3);
             allowMixedDeclarations := odd(i >> 4);
             c99Scope := allowMixedDeclarations;
+            looseCharTypeChecks := odd(i >> 5);
             end;
          
          p_segment: begin
diff --git a/Scanner.pas b/Scanner.pas
index d5f0ece..fd28a16 100644
--- a/Scanner.pas
+++ b/Scanner.pas
@@ -89,6 +89,7 @@ var
                                         {Note: The following two are set together}
    allowMixedDeclarations: boolean;     {allow mixed declarations & stmts (C99)?}
    c99Scope: boolean;                   {follow C99 rules for block scopes?}
+   looseCharTypeChecks: boolean;        {treat char and unsigned char as compatible?}
 
 {---------------------------------------------------------------}
 
@@ -2981,6 +2982,7 @@ if ch in ['a','d','e','i','l','p','u','w'] then begin
                      allowTokensAfterEndif := odd(val >> 2);
                      allowSlashSlashComments := odd(val >> 3);
                      allowMixedDeclarations := odd(val >> 4);
+                     looseCharTypeChecks := odd(val >> 5);
                      if allowMixedDeclarations <> c99Scope then begin
                         if doingFunction then
                            Error(126)
@@ -3672,6 +3674,7 @@ allowTokensAfterEndif := false;         {allow tokens after #endif}
 allowSlashSlashComments := true;		{allow // comments}
 allowMixedDeclarations := true;         {allow mixed declarations & stmts (C99)}
 c99Scope := true;                       {follow C99 rules for block scopes}
+looseCharTypeChecks := true;            {make char and unsigned char compatible}
 foundFunction := false;                 {no functions found so far}
 fileList := nil;                        {no included files}
 gettingFileName := false;               {not in GetFileName}
diff --git a/Symbol.pas b/Symbol.pas
index 8d2215f..081d8ce 100644
--- a/Symbol.pas
+++ b/Symbol.pas
@@ -383,9 +383,14 @@ else
    case kind1 of
 
       scalarType:
-         if kind2 = scalarType then
-            CompTypes :=
-               (t1^.baseType = t2^.baseType) and (t1^.cType = t2^.cType)
+         if kind2 = scalarType then begin
+            CompTypes := t1^.baseType = t2^.baseType;
+            if t1^.cType <> t2^.cType then
+                if not (looseCharTypeChecks
+                   and (t1^.cType in [ctChar, ctUChar]) 
+                   and (t2^.cType in [ctChar, ctUChar])) then
+                   CompTypes := false;
+            end {if}
          else if kind2 = enumType then
             CompTypes := (t1^.baseType = cgWord) and (t1^.cType = ctInt);