diff --git a/module/zfs/dmu.c b/module/zfs/dmu.c
index 3d8423af33..2197032312 100644
--- a/module/zfs/dmu.c
+++ b/module/zfs/dmu.c
@@ -1737,6 +1737,7 @@ dmu_assign_arcbuf_by_dnode(dnode_t *dn, uint64_t offset, arc_buf_t *buf,
 		/* compressed bufs must always be assignable to their dbuf */
 		ASSERT3U(arc_get_compression(buf), ==, ZIO_COMPRESS_OFF);
 		ASSERT(!(buf->b_flags & ARC_BUF_FLAG_COMPRESSED));
+		ASSERT(!arc_is_encrypted(buf));
 
 		dbuf_rele(db, FTAG);
 		dmu_write(os, object, offset, blksz, buf->b_data, tx);
diff --git a/module/zfs/dmu_recv.c b/module/zfs/dmu_recv.c
index e49a0f4aa4..e534540cb5 100644
--- a/module/zfs/dmu_recv.c
+++ b/module/zfs/dmu_recv.c
@@ -1235,11 +1235,13 @@ receive_object(struct receive_writer_arg *rwa, struct drr_object *drro,
 		 * processed. However, for raw receives we manually set the
 		 * maxblkid from the drr_maxblkid and so we must first free
 		 * everything above that blkid to ensure the DMU is always
-		 * consistent with itself.
+		 * consistent with itself. We will never free the first block
+		 * of the object here because a maxblkid of 0 could indicate
+		 * an object with a single block or one with no blocks.
 		 */
-		if (rwa->raw) {
+		if (rwa->raw && object != DMU_NEW_OBJECT) {
 			err = dmu_free_long_range(rwa->os, drro->drr_object,
-			    (drro->drr_maxblkid + 1) * drro->drr_blksz,
+			    (drro->drr_maxblkid + 1) * doi.doi_data_block_size,
 			    DMU_OBJECT_END);
 			if (err != 0)
 				return (SET_ERROR(EINVAL));
@@ -1375,11 +1377,8 @@ receive_object(struct receive_writer_arg *rwa, struct drr_object *drro,
 		    drro->drr_nlevels, tx));
 
 		/*
-		 * Set the maxblkid. We will never free the first block of
-		 * an object here because a maxblkid of 0 could indicate
-		 * an object with a single block or one with no blocks.
-		 * This will always succeed because we freed all blocks
-		 * beyond the new maxblkid above.
+		 * Set the maxblkid. This will always succeed because
+		 * we freed all blocks beyond the new maxblkid above.
 		 */
 		VERIFY0(dmu_object_set_maxblkid(rwa->os, drro->drr_object,
 		    drro->drr_maxblkid, tx));
@@ -2185,7 +2184,7 @@ dprintf_drr(struct receive_record_arg *rrd, int err)
 	{
 		struct drr_write *drrw = &rrd->header.drr_u.drr_write;
 		dprintf("drr_type = WRITE obj = %llu type = %u offset = %llu "
-		    "lsize = %llu cksumtype = %u cksumflags = %u "
+		    "lsize = %llu cksumtype = %u flags = %u "
 		    "compress = %u psize = %llu err = %d\n",
 		    drrw->drr_object, drrw->drr_type, drrw->drr_offset,
 		    drrw->drr_logical_size, drrw->drr_checksumtype,
@@ -2200,7 +2199,7 @@ dprintf_drr(struct receive_record_arg *rrd, int err)
 		dprintf("drr_type = WRITE_BYREF obj = %llu offset = %llu "
 		    "length = %llu toguid = %llx refguid = %llx "
 		    "refobject = %llu refoffset = %llu cksumtype = %u "
-		    "cksumflags = %u err = %d\n",
+		    "flags = %u err = %d\n",
 		    drrwbr->drr_object, drrwbr->drr_offset,
 		    drrwbr->drr_length, drrwbr->drr_toguid,
 		    drrwbr->drr_refguid, drrwbr->drr_refobject,
@@ -2236,6 +2235,16 @@ dprintf_drr(struct receive_record_arg *rrd, int err)
 		    "err = %d\n", drrs->drr_object, drrs->drr_length, err);
 		break;
 	}
+	case DRR_OBJECT_RANGE:
+	{
+		struct drr_object_range *drror =
+		    &rrd->header.drr_u.drr_object_range;
+		dprintf("drr_type = OBJECT_RANGE firstobj = %llu "
+		    "numslots = %llu flags = %u err = %d\n",
+		    drror->drr_firstobj, drror->drr_numslots,
+		    drror->drr_flags, err);
+		break;
+	}
 	default:
 		return;
 	}
@@ -2319,10 +2328,11 @@ receive_process_record(struct receive_writer_arg *rwa,
 	{
 		struct drr_object_range *drror =
 		    &rrd->header.drr_u.drr_object_range;
-		return (receive_object_range(rwa, drror));
+		err = receive_object_range(rwa, drror);
+		break;
 	}
 	default:
-		return (SET_ERROR(EINVAL));
+		err = (SET_ERROR(EINVAL));
 	}
 
 	if (err != 0)
diff --git a/module/zfs/dnode.c b/module/zfs/dnode.c
index 2903bc78d8..952ec95ae5 100644
--- a/module/zfs/dnode.c
+++ b/module/zfs/dnode.c
@@ -689,12 +689,9 @@ dnode_reallocate(dnode_t *dn, dmu_object_type_t ot, int blocksize,
 	rw_enter(&dn->dn_struct_rwlock, RW_WRITER);
 	dnode_setdirty(dn, tx);
 	if (dn->dn_datablksz != blocksize) {
-		/* change blocksize */
-		ASSERT(dn->dn_maxblkid == 0 &&
-		    (BP_IS_HOLE(&dn->dn_phys->dn_blkptr[0]) ||
-		    dnode_block_freed(dn, 0)));
-		dnode_setdblksz(dn, blocksize);
-		dn->dn_next_blksz[tx->tx_txg&TXG_MASK] = blocksize;
+		ASSERT0(dn->dn_maxblkid);
+		ASSERT(BP_IS_HOLE(&dn->dn_phys->dn_blkptr[0]) ||
+		    dnode_block_freed(dn, 0));
 	}
 	if (dn->dn_bonuslen != bonuslen)
 		dn->dn_next_bonuslen[tx->tx_txg&TXG_MASK] = bonuslen;
@@ -715,6 +712,8 @@ dnode_reallocate(dnode_t *dn, dmu_object_type_t ot, int blocksize,
 	}
 	rw_exit(&dn->dn_struct_rwlock);
 
+	VERIFY0(dnode_set_blksz(dn, blocksize, 0, tx));
+
 	/* change type */
 	dn->dn_type = ot;
 
diff --git a/tests/runfiles/linux.run b/tests/runfiles/linux.run
index 9537798a92..211daaf27a 100644
--- a/tests/runfiles/linux.run
+++ b/tests/runfiles/linux.run
@@ -792,7 +792,8 @@ tests = ['rsend_001_pos', 'rsend_002_pos', 'rsend_003_pos', 'rsend_004_pos',
     'send-c_lz4_disabled', 'send-c_recv_lz4_disabled',
     'send-c_mixed_compression', 'send-c_stream_size_estimate', 'send-cD',
     'send-c_embedded_blocks', 'send-c_resume', 'send-cpL_varied_recsize',
-    'send-c_recv_dedup', 'send_encrypted_files', 'send_encrypted_heirarchy',
+    'send-c_recv_dedup', 'send_encrypted_files',
+    'send_encrypted_truncated_files', 'send_encrypted_heirarchy',
     'send_encrypted_props', 'send_freeobjects', 'send_realloc_dnode_size',
     'send_holds', 'send_hole_birth', 'send_mixed_raw',
     'send-wDR_encrypted_zvol']
diff --git a/tests/zfs-tests/tests/functional/rsend/Makefile.am b/tests/zfs-tests/tests/functional/rsend/Makefile.am
index b0c68c5be5..322f1521f2 100644
--- a/tests/zfs-tests/tests/functional/rsend/Makefile.am
+++ b/tests/zfs-tests/tests/functional/rsend/Makefile.am
@@ -22,6 +22,7 @@ dist_pkgdata_SCRIPTS = \
 	rsend_022_pos.ksh \
 	rsend_024_pos.ksh \
 	send_encrypted_files.ksh \
+	send_encrypted_truncated_files.ksh \
 	send_encrypted_heirarchy.ksh \
 	send_encrypted_props.ksh \
 	send-cD.ksh \
diff --git a/tests/zfs-tests/tests/functional/rsend/send_encrypted_files.ksh b/tests/zfs-tests/tests/functional/rsend/send_encrypted_files.ksh
index d981aa3fd2..0156bc589a 100755
--- a/tests/zfs-tests/tests/functional/rsend/send_encrypted_files.ksh
+++ b/tests/zfs-tests/tests/functional/rsend/send_encrypted_files.ksh
@@ -22,7 +22,8 @@
 
 #
 # DESCRIPTION:
-#
+# Verify that a raw zfs send and receive can deal with several different
+# types of file layouts.
 #
 # STRATEGY:
 # 1. Create a new encrypted filesystem
@@ -30,18 +31,14 @@
 # 3. Add a small 512 byte file to the filesystem
 # 4. Add a larger 32M file to the filesystem
 # 5. Add a large sparse file to the filesystem
-# 6. Add a 3 files that are to be truncated later
-# 7. Add 1000 empty files to the filesystem
-# 8. Add a file with a large xattr value
-# 9. Use xattrtest to create files with random xattrs (with and without xattrs=on)
-# 10. Take a snapshot of the filesystem
-# 11. Truncate one of the files from 32M to 128k
-# 12. Truncate one of the files from 512k to 384k
-# 13. Truncate one of the files from 512k to 0 to 384k
-# 14. Remove the 1000 empty files to the filesystem
-# 15. Take another snapshot of the filesystem
-# 16. Send and receive both snapshots
-# 17. Mount the filesystem and check the contents
+# 6. Add 1000 empty files to the filesystem
+# 7. Add a file with a large xattr value
+# 8. Use xattrtest to create files with random xattrs (with and without xattrs=on)
+# 9. Take a snapshot of the filesystem
+# 10. Remove the 1000 empty files to the filesystem
+# 11. Take another snapshot of the filesystem
+# 12. Send and receive both snapshots
+# 13. Mount the filesystem and check the contents
 #
 
 verify_runnable "both"
@@ -74,15 +71,12 @@ log_must eval "echo 'password' > $keyfile"
 log_must zfs create -o encryption=on -o keyformat=passphrase \
 	-o keylocation=file://$keyfile $TESTPOOL/$TESTFS2
 
-# Create files with vaired layouts on disk
+# Create files with varied layouts on disk
 log_must touch /$TESTPOOL/$TESTFS2/empty
 log_must mkfile 512 /$TESTPOOL/$TESTFS2/small
 log_must mkfile 32M /$TESTPOOL/$TESTFS2/full
 log_must dd if=/dev/urandom of=/$TESTPOOL/$TESTFS2/sparse \
 	bs=512 count=1 seek=1048576 >/dev/null 2>&1
-log_must mkfile 32M /$TESTPOOL/$TESTFS2/truncated
-log_must mkfile 524288 /$TESTPOOL/$TESTFS2/truncated2
-log_must mkfile 524288 /$TESTPOOL/$TESTFS2/truncated3
 
 log_must mkdir -p /$TESTPOOL/$TESTFS2/dir
 for i in {1..1000}; do
@@ -101,23 +95,10 @@ log_must zfs set compression=on xattr=sa $TESTPOOL/$TESTFS2
 log_must touch /$TESTPOOL/$TESTFS2/attrs
 log_must eval "python -c 'print \"a\" * 4096' | \
 	attr -s bigval /$TESTPOOL/$TESTFS2/attrs"
+log_must zfs set compression=off xattr=on $TESTPOOL/$TESTFS2
 
 log_must zfs snapshot $TESTPOOL/$TESTFS2@snap1
 
-#
-# Truncate files created in the first snapshot. The first tests
-# truncating a large file to a single block. The second tests
-# truncating one block off the end of a file without changing
-# the required nlevels to hold it. The last tests handling
-# of a maxblkid that is dropped and then raised again.
-#
-log_must truncate -s 131072 /$TESTPOOL/$TESTFS2/truncated
-log_must truncate -s 393216 /$TESTPOOL/$TESTFS2/truncated2
-log_must truncate -s 0 /$TESTPOOL/$TESTFS2/truncated3
-log_must zpool sync $TESTPOOL
-log_must dd if=/dev/urandom of=/$TESTPOOL/$TESTFS2/truncated3 \
-	bs=128k count=3 iflag=fullblock
-
 # Remove the empty files created in the first snapshot
 for i in {1..1000}; do
 	log_must rm /$TESTPOOL/$TESTFS2/dir/file-$i
diff --git a/tests/zfs-tests/tests/functional/rsend/send_encrypted_truncated_files.ksh b/tests/zfs-tests/tests/functional/rsend/send_encrypted_truncated_files.ksh
new file mode 100755
index 0000000000..8578d57688
--- /dev/null
+++ b/tests/zfs-tests/tests/functional/rsend/send_encrypted_truncated_files.ksh
@@ -0,0 +1,114 @@
+#!/bin/ksh -p
+#
+# CDDL HEADER START
+#
+# This file and its contents are supplied under the terms of the
+# Common Development and Distribution License ("CDDL"), version 1.0.
+# You may only use this file in accordance with the terms of version
+# 1.0 of the CDDL.
+#
+# A full copy of the text of the CDDL should have accompanied this
+# source.  A copy of the CDDL is also available via the Internet at
+# http://www.illumos.org/license/CDDL.
+#
+# CDDL HEADER END
+#
+
+#
+# Copyright (c) 2018 by Datto Inc. All rights reserved.
+#
+
+. $STF_SUITE/tests/functional/rsend/rsend.kshlib
+
+#
+# DESCRIPTION:
+#
+#
+# STRATEGY:
+# 1. Create a new encrypted filesystem
+# 2. Add a 4 files that are to be truncated later
+# 3. Take a snapshot of the filesystem
+# 4. Truncate one of the files from 32M to 128k
+# 5. Truncate one of the files from 512k to 384k
+# 6. Truncate one of the files from 512k to 0 to 384k via reallocation
+# 7. Truncate one of the files from 1k to 0 to 512b via reallocation
+# 8. Take another snapshot of the filesystem
+# 9. Send and receive both snapshots
+# 10. Mount the filesystem and check the contents
+#
+
+verify_runnable "both"
+
+function cleanup
+{
+	datasetexists $TESTPOOL/$TESTFS2 && \
+		log_must zfs destroy -r $TESTPOOL/$TESTFS2
+	datasetexists $TESTPOOL/recv && \
+		log_must zfs destroy -r $TESTPOOL/recv
+	[[ -f $keyfile ]] && log_must rm $keyfile
+	[[ -f $sendfile ]] && log_must rm $sendfile
+}
+log_onexit cleanup
+
+function recursive_cksum
+{
+	find $1 -type f -exec sha256sum {} \; | \
+		sort -k 2 | awk '{ print $1 }' | sha256sum
+}
+
+log_assert "Verify 'zfs send -w' works with many different file layouts"
+
+typeset keyfile=/$TESTPOOL/pkey
+typeset sendfile=/$TESTPOOL/sendfile
+typeset sendfile2=/$TESTPOOL/sendfile2
+
+# Create an encrypted dataset
+log_must eval "echo 'password' > $keyfile"
+log_must zfs create -o encryption=on -o keyformat=passphrase \
+	-o keylocation=file://$keyfile $TESTPOOL/$TESTFS2
+
+# Create files with varied layouts on disk
+log_must mkfile 32M /$TESTPOOL/$TESTFS2/truncated
+log_must mkfile 524288 /$TESTPOOL/$TESTFS2/truncated2
+log_must mkfile 524288 /$TESTPOOL/$TESTFS2/truncated3
+log_must mkfile 1024 /$TESTPOOL/$TESTFS2/truncated4
+
+log_must zfs snapshot $TESTPOOL/$TESTFS2@snap1
+
+#
+# Truncate files created in the first snapshot. The first tests
+# truncating a large file to a single block. The second tests
+# truncating one block off the end of a file without changing
+# the required nlevels to hold it. The third tests handling
+# of a maxblkid that is dropped and then raised again. The
+# fourth tests an object that is truncated from a single block
+# to a smaller single block.
+#
+log_must truncate -s 131072 /$TESTPOOL/$TESTFS2/truncated
+log_must truncate -s 393216 /$TESTPOOL/$TESTFS2/truncated2
+log_must rm -f /$TESTPOOL/$TESTFS2/truncated3
+log_must rm -f /$TESTPOOL/$TESTFS2/truncated4
+log_must zpool sync $TESTPOOL
+log_must zfs umount $TESTPOOL/$TESTFS2
+log_must zfs mount $TESTPOOL/$TESTFS2
+log_must dd if=/dev/urandom of=/$TESTPOOL/$TESTFS2/truncated3 \
+	bs=128k count=3 iflag=fullblock
+log_must dd if=/dev/urandom of=/$TESTPOOL/$TESTFS2/truncated4 \
+	bs=512 count=1 iflag=fullblock
+
+log_must zfs snapshot $TESTPOOL/$TESTFS2@snap2
+expected_cksum=$(recursive_cksum /$TESTPOOL/$TESTFS2)
+
+log_must eval "zfs send -wp $TESTPOOL/$TESTFS2@snap1 > $sendfile"
+log_must eval "zfs send -wp -i @snap1 $TESTPOOL/$TESTFS2@snap2 > $sendfile2"
+
+log_must eval "zfs recv -F $TESTPOOL/recv < $sendfile"
+log_must eval "zfs recv -F $TESTPOOL/recv < $sendfile2"
+log_must zfs load-key $TESTPOOL/recv
+
+log_must zfs mount -a
+actual_cksum=$(recursive_cksum /$TESTPOOL/recv)
+[[ "$expected_cksum" != "$actual_cksum" ]] && \
+	log_fail "Recursive checksums differ ($expected_cksum != $actual_cksum)"
+
+log_pass "Verified 'zfs send -w' works with many different file layouts"