diff --git a/CHANGELOG b/CHANGELOG
index 14f888746..3b36188d5 100644
--- a/CHANGELOG
+++ b/CHANGELOG
@@ -1,7 +1,11 @@
 Changes between 1.0.0b8 and 1.0.0b9
 =====================================
 
-* simplified py.test.mark API 
+* dist-testing: properly handle test items that get locally 
+  collected but cannot be collected on the remote side - often 
+  due to platform/dependency reasons
+
+* simplified py.test.mark API - see keyword plugin documentation
 
 * make assert-reinterpretation work better with comparisons not 
   returning bools (reported with numpy from thanks maciej fijalkowski)
diff --git a/py/test/collect.py b/py/test/collect.py
index c7bbdb556..eb941a712 100644
--- a/py/test/collect.py
+++ b/py/test/collect.py
@@ -4,7 +4,6 @@ Collectors and test Items form a tree
 that is usually built iteratively.  
 """ 
 import py
-from py.__.test.outcome import Skipped
 
 def configproperty(name):
     def fget(self):
@@ -31,6 +30,10 @@ class Node(object):
         self.config = getattr(parent, 'config', None)
         self.fspath = getattr(parent, 'fspath', None) 
 
+    def _checkcollectable(self):
+        if not hasattr(self, 'fspath'):
+            self.parent._memocollect() # to reraise exception
+            
     # 
     # note to myself: Pickling is uh.
     # 
@@ -44,6 +47,7 @@ class Node(object):
         except Exception:
             # seems our parent can't collect us 
             # so let's be somewhat operable 
+            # _checkcollectable() is to tell outsiders about the fact
             self.name = name 
             self.parent = parent 
             self.config = parent.config
diff --git a/py/test/dist/testing/test_dsession.py b/py/test/dist/testing/test_dsession.py
index ec33526cc..5c2b1afd2 100644
--- a/py/test/dist/testing/test_dsession.py
+++ b/py/test/dist/testing/test_dsession.py
@@ -367,13 +367,21 @@ class TestDSession:
         assert node.gateway.spec.popen
         #XXX eq.geteventargs("pytest_sessionfinish")
 
-    @py.test.mark.xfail
-    def test_collected_function_causes_remote_skip_at_module_level(self, testdir):
-        p = testdir.makepyfile("""
-            import py
-            py.test.importorskip("xyz")
-            def test_func():
-                pass
-        """)
-        # we need to be able to collect test_func locally but not in the subprocess 
-        XXX
+def test_collected_function_causes_remote_skip(testdir):
+    sub = testdir.mkpydir("testing")
+    sub.join("test_module.py").write(py.code.Source("""
+        import py
+        path = py.path.local(%r)
+        if path.check():
+            path.remove()
+        else:
+            py.test.skip("remote skip")
+        def test_func(): 
+            pass
+        def test_func2(): 
+            pass
+    """ % str(sub.ensure("somefile"))))
+    result = testdir.runpytest('-v', '--dist=each', '--tx=popen')
+    result.stdout.fnmatch_lines([
+        "*2 skipped*"
+    ])
diff --git a/py/test/dist/txnode.py b/py/test/dist/txnode.py
index d7633e80e..513772947 100644
--- a/py/test/dist/txnode.py
+++ b/py/test/dist/txnode.py
@@ -124,12 +124,37 @@ class SlaveNode(object):
                     break
                 if isinstance(task, list):
                     for item in task:
-                        item.config.hook.pytest_runtest_protocol(item=item) 
+                        self.run_single(item=item)
                 else:
-                    task.config.hook.pytest_runtest_protocol(item=task) 
+                    self.run_single(item=task)
         except KeyboardInterrupt:
             raise
         except:
             er = py.code.ExceptionInfo().getrepr(funcargs=True, showlocals=True)
             self.sendevent("pytest_internalerror", excrepr=er)
             raise
+
+    def run_single(self, item):
+        call = CallInfo(item._checkcollectable, 'setup')
+        if call.excinfo:
+            # likely it is not collectable here because of
+            # platform/import-dependency induced skips 
+            # XXX somewhat ugly shortcuts - also makes a collection
+            #     failure into an ItemTestReport - this might confuse
+            #     pytest_runtest_logreport hooks 
+            runner = item.config.pluginmanager.getplugin("pytest_runner")
+            rep = runner.pytest_runtest_makereport(item=item, call=call)
+            self.pytest_runtest_logreport(rep)
+            return
+        item.config.hook.pytest_runtest_protocol(item=item) 
+
+class CallInfo:
+    excinfo = None 
+    def __init__(self, func, when):
+        self.when = when 
+        try:
+            self.result = func()
+        except KeyboardInterrupt:
+            raise
+        except:
+            self.excinfo = py.code.ExceptionInfo()
diff --git a/py/test/plugin/pytest_pytester.py b/py/test/plugin/pytest_pytester.py
index 0a0ba4c00..f022df147 100644
--- a/py/test/plugin/pytest_pytester.py
+++ b/py/test/plugin/pytest_pytester.py
@@ -129,7 +129,12 @@ class TmpTestdir:
             
     def mkdir(self, name):
         return self.tmpdir.mkdir(name)
-    
+
+    def mkpydir(self, name):
+        p = self.mkdir(name)
+        p.ensure("__init__.py")
+        return p
+
     def genitems(self, colitems):
         return list(self.session.genitems(colitems))