Index: qdox-1.6.3/src/java/com/thoughtworks/qdox/model/ModelBuilder.java
===================================================================
--- qdox-1.6.3/src/java/com/thoughtworks/qdox/model/ModelBuilder.java	(revision 483)
+++ qdox-1.6.3/src/java/com/thoughtworks/qdox/model/ModelBuilder.java	(working copy)
@@ -5,6 +5,7 @@
 import java.util.Iterator;
 import java.util.LinkedList;
 import java.util.List;
+import java.util.ListIterator;
 import java.util.Map;
 import java.util.Set;
 
@@ -244,28 +245,43 @@
     	Map args = new HashMap();
         for (Iterator iter = def.args.entrySet().iterator(); iter.hasNext();) {
         	Map.Entry entry = (Map.Entry)iter.next();
-        	Object value = entry.getValue();
-
-        	if( value instanceof AnnoDef ) {
-        		args.put( entry.getKey(), buildAnnotation( (AnnoDef)value, entity ) );
-        	}
-        	else if( value instanceof List ) {
-        		List values = (List)value;
-        		if( values.size() == 1 ) {
-        			// TODO: what about types?
-        			args.put( entry.getKey(), values.get( 0 ) );
-        		}
-        		else {
-        			args.put( entry.getKey(), values );
-        		}
-        	}
+            Object value = convertAnnotationValue( entry.getValue(), entity );
+   			args.put( entry.getKey(), value );
         }
 
     	Annotation anno = new Annotation( annoType, entity, args, def.lineNumber );
         return anno;
     }
+    
+    private Object convertAnnotationValue( Object value, AbstractJavaEntity entity ) {
+        Object result = value;
+        
+        if( value instanceof AnnoDef ) {
+            result = buildAnnotation( (AnnoDef)value, entity );
+        }
+        else if( value instanceof List ) {
+            List values = (List)value;
+            
+            if( values.size() == 1 ) {
+                result = convertAnnotationValue( values.get( 0 ), entity );
+            }
+            else {
+                List convertedList = new ArrayList();
 
+                for( ListIterator i = values.listIterator(); i.hasNext(); ) {
+                    Object entry = i.next();
+                    convertedList.add( convertAnnotationValue( entry, entity ) );             
+                    result = convertedList;
+                }
+                
+                result = convertedList;
+            }
+        }
+        
+        return result;
+    }
 
+
     // Don't resolve until we need it... class hasn't been defined yet.
     public void addAnnotation( AnnoDef def ) {
     	currentAnnoDefs.add( def );
Index: qdox-1.6.3/src/java/com/thoughtworks/qdox/parser/structs/AnnoDef.java
===================================================================
--- qdox-1.6.3/src/java/com/thoughtworks/qdox/parser/structs/AnnoDef.java	(revision 483)
+++ qdox-1.6.3/src/java/com/thoughtworks/qdox/parser/structs/AnnoDef.java	(working copy)
@@ -1,7 +1,9 @@
 package com.thoughtworks.qdox.parser.structs;
 
+import java.util.ArrayList;
 import java.util.HashMap;
 import java.util.Iterator;
+import java.util.List;
 import java.util.Map;
 
 public class AnnoDef extends LocatedDef
@@ -9,6 +11,7 @@
     public String name = "";
     public Map args = new HashMap();
     public AnnoDef tempAnno = null;	// holds an annotation to construct nested values
+    public List tempValues = new ArrayList(); // Holds collected valus for nested annotation construction
 
     public boolean equals(Object obj) {
         AnnoDef annoDef = (AnnoDef) obj;
Index: qdox-1.6.3/src/grammar/parser.y
===================================================================
--- qdox-1.6.3/src/grammar/parser.y	(revision 483)
+++ qdox-1.6.3/src/grammar/parser.y	(working copy)
@@ -175,14 +175,14 @@
 		tmpAno.tempAnno = ano;
 		ano = tmpAno;
 	} annotationWork { $$ = ano; ano = ano.tempAnno; } |
-	annoElementValueArrayInitializer { $$ = annoValues; annoValues = new LinkedList(); };
+	annoElementValueArrayInitializer { $$ = ano.tempValues; };
 
 annoElementValueArrayInitializer:
     BRACEOPEN annoElementValues BRACECLOSE;
 
 annoElementValues:
-	annoElementValue { annoValues.add( $1 ); } |
-	annoElementValues COMMA annoElementValue { annoValues.add( $3 ); };
+	annoElementValue { ano.tempValues.add( $1 ); } |
+	annoElementValues COMMA annoElementValue { ano.tempValues.add( $3 ); };
 
 // ----- TYPES
 
@@ -418,7 +418,6 @@
 private boolean debugLexer;
 
 private LinkedList annoConstants = new LinkedList();
-private LinkedList annoValues = new LinkedList();
 
 private void appendToBuffer(String word) {
     if (textBuffer.length() > 0) {