diff --git a/deployment/schema.json b/deployment/schema.json
index 50c4f0598..13e5b70d0 100644
--- a/deployment/schema.json
+++ b/deployment/schema.json
@@ -645,6 +645,18 @@
         "description": "Ex. `function<T>()`"
       }]
     },
+    "functionExpression.flatIife": {
+      "description": "Whether to skip indenting the body of a function expression used in an IIFE.",
+      "type": "boolean",
+      "default": false,
+      "oneOf": [{
+        "const": true,
+        "description": "Does not indent the body of the function in `(function() { ... })();`."
+      }, {
+        "const": false,
+        "description": "Indents the body as normal."
+      }]
+    },
     "getAccessor.spaceBeforeParentheses": {
       "description": "Whether to add a space before the parentheses of a get accessor.",
       "type": "boolean",
@@ -973,6 +985,9 @@
     "functionExpression.spaceAfterFunctionKeyword": {
       "$ref": "#/definitions/functionExpression.spaceAfterFunctionKeyword"
     },
+    "functionExpression.flatIife": {
+      "$ref": "#/definitions/functionExpression.flatIife"
+    },
     "getAccessor.spaceBeforeParentheses": {
       "$ref": "#/definitions/getAccessor.spaceBeforeParentheses"
     },
diff --git a/src/configuration/builder.rs b/src/configuration/builder.rs
index aeaaa4d36..bfa35df54 100644
--- a/src/configuration/builder.rs
+++ b/src/configuration/builder.rs
@@ -348,6 +348,14 @@ impl ConfigurationBuilder {
     self.insert("functionExpression.spaceAfterFunctionKeyword", value.into())
   }
 
+  /// Whether to skip indenting the body of a function expression used in an IIFE.
+  ///
+  /// `true` - Does not indent the body of the function in `(function() { ... })();`.
+  /// `false` (default) - Indents the body as normal.
+  pub fn function_expression_flat_iife(&mut self, value: bool) -> &mut Self {
+    self.insert("functionExpression.flatIife", value.into())
+  }
+
   /// Whether to add a space before the parentheses of a get accessor.
   ///
   /// `true` - Ex. `get myProp ()`
diff --git a/src/configuration/resolve_config.rs b/src/configuration/resolve_config.rs
index 486b23656..ea393be31 100644
--- a/src/configuration/resolve_config.rs
+++ b/src/configuration/resolve_config.rs
@@ -289,6 +289,7 @@ pub fn resolve_config(config: ConfigKeyMap, global_config: &GlobalConfiguration)
     function_declaration_space_before_parentheses: get_value(&mut config, "functionDeclaration.spaceBeforeParentheses", false, &mut diagnostics),
     function_expression_space_before_parentheses: get_value(&mut config, "functionExpression.spaceBeforeParentheses", false, &mut diagnostics),
     function_expression_space_after_function_keyword: get_value(&mut config, "functionExpression.spaceAfterFunctionKeyword", false, &mut diagnostics),
+    function_expression_flat_iife: get_value(&mut config, "functionExpression.flatIife", false, &mut diagnostics),
     get_accessor_space_before_parentheses: get_value(&mut config, "getAccessor.spaceBeforeParentheses", false, &mut diagnostics),
     if_statement_space_after_if_keyword: get_value(&mut config, "ifStatement.spaceAfterIfKeyword", true, &mut diagnostics),
     import_declaration_space_surrounding_named_imports: get_value(&mut config, "importDeclaration.spaceSurroundingNamedImports", true, &mut diagnostics),
@@ -353,8 +354,8 @@ pub fn resolve_config(config: ConfigKeyMap, global_config: &GlobalConfiguration)
 
 #[cfg(test)]
 mod tests {
-  use dprint_core::configuration::resolve_global_config;
   use dprint_core::configuration::NewLineKind;
+  use dprint_core::configuration::resolve_global_config;
 
   use super::super::builder::ConfigurationBuilder;
   use super::*;
diff --git a/src/configuration/types.rs b/src/configuration/types.rs
index 1e67d7b77..61b08bf7a 100644
--- a/src/configuration/types.rs
+++ b/src/configuration/types.rs
@@ -604,6 +604,8 @@ pub struct Configuration {
   pub function_expression_space_before_parentheses: bool,
   #[serde(rename = "functionExpression.spaceAfterFunctionKeyword")]
   pub function_expression_space_after_function_keyword: bool,
+  #[serde(rename = "functionExpression.flatIife")]
+  pub function_expression_flat_iife: bool,
   #[serde(rename = "getAccessor.spaceBeforeParentheses")]
   pub get_accessor_space_before_parentheses: bool,
   #[serde(rename = "ifStatement.spaceAfterIfKeyword")]
diff --git a/src/generation/context.rs b/src/generation/context.rs
index 13b23f7f8..2f50f4c5e 100644
--- a/src/generation/context.rs
+++ b/src/generation/context.rs
@@ -68,6 +68,7 @@ pub struct Context<'a> {
   stored_lsil: FxHashMap<(SourcePos, SourcePos), LineStartIndentLevel>,
   stored_ln: FxHashMap<(SourcePos, SourcePos), LineNumber>,
   stored_il: FxHashMap<(SourcePos, SourcePos), IndentLevel>,
+  pub skip_iife_body_indent: bool,
   pub end_statement_or_member_lns: Stack<LineNumber>,
   before_comments_start_info_stack: Stack<(SourceRange, LineNumber, IsStartOfLine)>,
   if_stmt_last_brace_condition_ref: Option<ConditionReference>,
@@ -102,6 +103,7 @@ impl<'a> Context<'a> {
       stored_lsil: FxHashMap::default(),
       stored_ln: FxHashMap::default(),
       stored_il: FxHashMap::default(),
+      skip_iife_body_indent: false,
       end_statement_or_member_lns: Default::default(),
       before_comments_start_info_stack: Default::default(),
       if_stmt_last_brace_condition_ref: None,
diff --git a/src/generation/generate.rs b/src/generation/generate.rs
index 5c5ad0772..47ca3b54b 100644
--- a/src/generation/generate.rs
+++ b/src/generation/generate.rs
@@ -2638,7 +2638,27 @@ fn gen_expr_with_type_args<'a>(node: &TsExprWithTypeArgs<'a>, context: &mut Cont
   items
 }
 
+fn is_iife_fn_expr(node: &FnExpr) -> bool {
+  let mut current: Node = node.into();
+  while let Some(parent) = current.parent() {
+    if parent.is::<ParenExpr>() {
+      current = parent;
+      continue;
+    }
+    return match parent {
+      Node::CallExpr(call) => call.callee.range() == current.range(),
+      Node::OptCall(call) => call.callee.range() == current.range(),
+      _ => false,
+    };
+  }
+  false
+}
+
 fn gen_fn_expr<'a>(node: &FnExpr<'a>, context: &mut Context<'a>) -> PrintItems {
+  if context.config.function_expression_flat_iife && is_iife_fn_expr(node) {
+    context.skip_iife_body_indent = true;
+  }
+
   let items = gen_function_decl_or_expr(
     FunctionDeclOrExprNode {
       node: node.into(),
@@ -9475,6 +9495,8 @@ struct GenBlockOptions<'a> {
 
 fn gen_block<'a>(gen_inner: impl FnOnce(Vec<Node<'a>>, &mut Context<'a>) -> PrintItems, opts: GenBlockOptions<'a>, context: &mut Context<'a>) -> PrintItems {
   let mut items = PrintItems::new();
+  let skip_indent = context.skip_iife_body_indent;
+  context.skip_iife_body_indent = false;
   let before_open_token_ln = LineNumber::new("after_open_token_info");
   let first_member_range = opts.children.first().map(|x| x.range());
   let range = opts.range;
@@ -9493,7 +9515,8 @@ fn gen_block<'a>(gen_inner: impl FnOnce(Vec<Node<'a>>, &mut Context<'a>) -> Prin
         items.push_signal(Signal::NewLine);
       }
       items.push_line_and_column(start_inner_lc);
-      items.extend(ir_helpers::with_indent(gen_inner(opts.children, context)));
+      let inner = gen_inner(opts.children, context);
+      items.extend(if skip_indent { inner } else { ir_helpers::with_indent(inner) });
       items.push_line_and_column(end_inner_lc);
 
       if is_tokens_same_line_and_empty {
diff --git a/tests/specs/expressions/FunctionExpression/FunctionExpression_FlatIife_True.txt b/tests/specs/expressions/FunctionExpression/FunctionExpression_FlatIife_True.txt
new file mode 100644
index 000000000..38190c727
--- /dev/null
+++ b/tests/specs/expressions/FunctionExpression/FunctionExpression_FlatIife_True.txt
@@ -0,0 +1,154 @@
+~~ functionExpression.flatIife: true ~~
+== should not indent body of IIFE ==
+(function() {
+    const a = "foobar";
+    return { a };
+})();
+
+[expect]
+(function() {
+const a = "foobar";
+return { a };
+})();
+
+== should not indent body of named IIFE ==
+(function init() {
+    const a = "foobar";
+    return { a };
+})();
+
+[expect]
+(function init() {
+const a = "foobar";
+return { a };
+})();
+
+== should not indent body of IIFE with args ==
+(function(x) {
+    const a = x;
+    return { a };
+})(42);
+
+[expect]
+(function(x) {
+const a = x;
+return { a };
+})(42);
+
+== should still indent body of regular function expression ==
+const fn = function() {
+    const a = "foobar";
+    return { a };
+};
+
+[expect]
+const fn = function() {
+    const a = "foobar";
+    return { a };
+};
+
+== should still indent body of function expression in call argument ==
+call(function() {
+    const a = "foobar";
+    return { a };
+});
+
+[expect]
+call(function() {
+    const a = "foobar";
+    return { a };
+});
+
+== should not affect arrow function IIFE ==
+(() => {
+    const a = "foobar";
+    return { a };
+})();
+
+[expect]
+(() => {
+    const a = "foobar";
+    return { a };
+})();
+
+== should handle IIFE with nested function ==
+(function() {
+    function inner() {
+        return 1;
+    }
+    return inner();
+})();
+
+[expect]
+(function() {
+function inner() {
+    return 1;
+}
+return inner();
+})();
+
+== should handle empty IIFE ==
+(function() {})();
+
+[expect]
+(function() {})();
+
+== should not indent body of IIFE wrapped in extra parens ==
+((function() {
+    const a = "foobar";
+    return { a };
+}))();
+
+[expect]
+(function() {
+const a = "foobar";
+return { a };
+})();
+
+== should not indent body of optional IIFE ==
+(function() {
+    const a = "foobar";
+    return { a };
+})?.();
+
+[expect]
+(function() {
+const a = "foobar";
+return { a };
+})?.();
+
+== should not indent body of bare-callee IIFE ==
+void function() {
+    const a = "foobar";
+    return { a };
+}();
+
+[expect]
+void function() {
+const a = "foobar";
+return { a };
+}();
+
+== should still indent body of function expression in member call ==
+(function() {
+    const a = "foobar";
+    return { a };
+}).call(null);
+
+[expect]
+(function() {
+    const a = "foobar";
+    return { a };
+}).call(null);
+
+== should still indent body of function expression as call argument ==
+foo((function() {
+    const a = "foobar";
+    return { a };
+}));
+
+[expect]
+foo(function() {
+    const a = "foobar";
+    return { a };
+});