diff --git a/.npmignore b/.npmignore
index 9931d45d5..63aecf2e9 100644
--- a/.npmignore
+++ b/.npmignore
@@ -1,5 +1,6 @@
 *.ts
 .vscode
 .test
+examples
 test
 src
diff --git a/CHANGELOG.md b/CHANGELOG.md
index ad4546cab..bd1fab537 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -1,5 +1,11 @@
 # Changelog
 
+## v3.0.3
+
+- [Fix allowJs @types resolution error](https://github.com/TypeStrong/ts-loader/pull/658) (#657, #655) - thanks @johnnyreilly and @roddypratt + @ldrick for providing minimal repro repos which allowed me to fix this long standing bug!
+
+This fix resolves the issue for TypeScript 2.4+ (which is likely 95% of users).  For those people stuck on 2.4 and impacted by this issue, you should be able to workaround this by setting `entryFileCannotBeJs: true` in your ts-loader options.  This option should be considered deprecated as of this release.  The option will likely disappear with the next major version of ts-loader which will drop support for TypeScript 2.3 and below, thus removing the need for this option.
+
 ## v3.0.0
 
 All changes were made with this [PR](https://github.com/TypeStrong/ts-loader/pull/643) - thanks @johnnyreilly
diff --git a/README.md b/README.md
index 2361ba07c..869e4ca26 100644
--- a/README.md
+++ b/README.md
@@ -296,9 +296,11 @@ Advanced option to force files to go through different instances of the
 TypeScript compiler. Can be used to force segregation between different parts
 of your code.
 
-#### entryFileCannotBeJs *(boolean) (default=false)*
+#### entryFileCannotBeJs *(boolean) (default=false) DEPRECATED*
 
-If the `allowJs` compiler option is `true` then it's possible for your entry files to be JS. Since people have reported occasional problems with this the `entryFileCannotBeJs` setting exists to disable this functionality (if set then your entry file cannot be JS).  Please note that this is rather unusual and will generally not be necessary when using `allowJs`.  This option may be removed in a future version of ts-loader if it appears to be unused (likely).
+If the `allowJs` compiler option is `true` then it's possible for your entry files to be JS. There is a [known issue using ts-loader with TypeScript 2.3 and below](https://github.com/TypeStrong/ts-loader/issues/655).  This option exists to work around that issue if you are using ts-loader with TypeScript 2.3 or below.
+
+This option will be removed in a future version of ts-loader.
 
 #### appendTsSuffixTo *(RegExp[]) (default=[])*
 #### appendTsxSuffixTo *(RegExp[]) (default=[])*
diff --git a/package.json b/package.json
index 6753a5104..7337f5547 100644
--- a/package.json
+++ b/package.json
@@ -1,6 +1,6 @@
 {
   "name": "ts-loader",
-  "version": "3.0.2",
+  "version": "3.0.3",
   "description": "TypeScript loader for webpack",
   "main": "index.js",
   "scripts": {
diff --git a/src/index.ts b/src/index.ts
index ca42a03f6..907f3bfa8 100644
--- a/src/index.ts
+++ b/src/index.ts
@@ -110,7 +110,7 @@ function getLoaderOptions(loader: Webpack) {
 }
 
 type ValidLoaderOptions = keyof LoaderOptions;
-const validLoaderOptions: ValidLoaderOptions[] = ['silent', 'logLevel', 'logInfoToStdOut', 'instance', 'compiler', 'configFile', 'transpileOnly', 'ignoreDiagnostics', 'errorFormatter', 'colors', 'compilerOptions', 'appendTsSuffixTo', 'appendTsxSuffixTo', 'entryFileCannotBeJs', 'happyPackMode', 'getCustomTransformers'];
+const validLoaderOptions: ValidLoaderOptions[] = ['silent', 'logLevel', 'logInfoToStdOut', 'instance', 'compiler', 'configFile', 'transpileOnly', 'ignoreDiagnostics', 'errorFormatter', 'colors', 'compilerOptions', 'appendTsSuffixTo', 'appendTsxSuffixTo', 'entryFileCannotBeJs' /* DEPRECATED */, 'happyPackMode', 'getCustomTransformers'];
 
 /**
  * Validate the supplied loader options.
diff --git a/src/interfaces.ts b/src/interfaces.ts
index 106b85ac3..acbc93d14 100644
--- a/src/interfaces.ts
+++ b/src/interfaces.ts
@@ -273,6 +273,7 @@ export interface LoaderOptions {
     compilerOptions: typescript.CompilerOptions;
     appendTsSuffixTo: RegExp[];
     appendTsxSuffixTo: RegExp[];
+    /** DEPRECATED */
     entryFileCannotBeJs: boolean;
     happyPackMode: boolean;
     getCustomTransformers?(): typescript.CustomTransformers | undefined;