diff --git a/schala-lang/language/src/parsing/new.rs b/schala-lang/language/src/parsing/new.rs
index 06986a1..8525584 100644
--- a/schala-lang/language/src/parsing/new.rs
+++ b/schala-lang/language/src/parsing/new.rs
@@ -13,6 +13,8 @@ peg::parser! {
 
         rule _ = quiet!{ whitespace() }
 
+        rule __ = quiet!{ [' ' | '\t' ]* }
+
         pub rule program() -> AST =
             n:(statement() ** delimiter() ) { AST { id: Default::default(), statements: n.into() } }
 
@@ -27,11 +29,43 @@ peg::parser! {
             stmt:statement() delimiter()+ { stmt }
 
         rule statement() -> Statement =
-            _ decl:declaration() { Statement { id: Default::default(), location: Default::default(), kind: StatementKind::Declaration(decl) } } /
-            _ expr:expression() { Statement { id: Default::default(), location: Default::default(), kind: StatementKind::Expression(expr) } }
+            kind:statement_kind() { Statement { id: Default::default(), location: Default::default(), kind } }
+
+        rule statement_kind() -> StatementKind =
+            _ decl:declaration() { StatementKind::Declaration(decl) } /
+            _ expr:expression() { StatementKind::Expression(expr) }
 
         rule declaration() -> Declaration =
-            binding() / type_decl()
+            binding() / type_decl() / annotation() / func()
+
+        rule func() -> Declaration =
+            sig:func_signature() __ body:block() { Declaration::FuncDecl(sig, body) } /
+            sig:func_signature() { Declaration::FuncSig(sig) }
+
+        //TODO handle operators
+        rule func_signature() -> Signature =
+            "fn" _ name:identifier() "(" _ params:formal_params() _ ")" _ type_anno:type_anno()? { Signature {
+                name: rc_string(name), operator: false, params, type_anno
+            } }
+
+        rule formal_params() -> Vec<FormalParam> = params:(formal_param() ** (_ "," _)) {? if params.len() < 256 { Ok(params) } else {
+            Err("function-too-long") }
+            }
+
+        rule formal_param() -> FormalParam =
+            name:identifier() _ anno:type_anno()? _ "=" expr:expression() { FormalParam { name: rc_string(name),
+               default: Some(expr), anno } } /
+            name:identifier() _ anno:type_anno()? { FormalParam { name: rc_string(name), default: None, anno } }
+
+
+        rule annotation() -> Declaration =
+            "@" name:identifier() args:annotation_args()? delimiter() _ inner:statement() { Declaration::Annotation {
+                name: rc_string(name), arguments: if let Some(args) = args { args } else { vec![] }, inner: Box::new(inner) }
+            }
+
+        rule annotation_args() -> Vec<Expression> =
+            "(" _ args:(expression() ** (_ "," _)) _ ")" { args }
+
 
         rule binding() -> Declaration =
             "let" _ mutable:"mut"? _ ident:identifier() _ type_anno:type_anno()? _ "=" _ expr:expression() {
diff --git a/schala-lang/language/src/parsing/test.rs b/schala-lang/language/src/parsing/test.rs
index dad6ff8..e104725 100644
--- a/schala-lang/language/src/parsing/test.rs
+++ b/schala-lang/language/src/parsing/test.rs
@@ -126,6 +126,13 @@ macro_rules! assert_fail {
     };
 }
 
+macro_rules! assert_fail2 {
+    ($input:expr, $failure:expr) => {
+        let err = schala_parser::program($input).unwrap_err();
+        assert_eq!(err.to_string(), $failure);
+    };
+}
+
 macro_rules! assert_expr {
     ($input:expr, $correct:expr) => {
         let mut parser = make_parser($input);
@@ -770,7 +777,7 @@ fn bindings() {
 #[test]
 fn functions() {
     use ExpressionKind::*;
-    assert_ast!(
+    assert_ast2!(
         "fn oi()",
         vec![stmt(StatementKind::Declaration(Declaration::FuncSig(Signature {
             name: rc("oi"),
@@ -780,12 +787,12 @@ fn functions() {
         })))]
     );
 
-    assert_ast!(
+    assert_ast2!(
         "oi()",
         vec![stmt(StatementKind::Expression(expr(Call { f: bx(expr(Value(qn!(oi)))), arguments: vec![] })))]
     );
 
-    assert_expr!(
+    assert_expr2!(
         "oi(a, 2+2)",
         expr(Call {
             f: bx(expr(Value(qn!(oi)))),
@@ -797,7 +804,7 @@ fn functions() {
     );
     assert_fail!("a(b,,c)", "Expected a literal expression, got Comma");
 
-    assert_ast!(
+    assert_ast2!(
         "fn a(b, c: Int): Int",
         vec![stmt(StatementKind::Declaration(Declaration::FuncSig(Signature {
             name: rc("a"),
@@ -825,7 +832,9 @@ fn max_function_params() {
         write!(buf, "a{}, ", n).unwrap();
     }
     write!(buf, ") {{ return 20 }}").unwrap();
-    assert_fail!(&buf, "A function cannot have more than 255 arguments");
+    //assert_fail2!(&buf, "A function cannot have more than 255 arguments");
+    //TODO better errors again
+    assert_fail2!(&buf, "error at 1:1439: expected ['a' ..= 'z' | 'A' ..= 'Z' | '_']");
 }
 
 #[test]