diff --git a/compiler/src/iree/compiler/Dialect/Stream/IR/StreamOps.cpp b/compiler/src/iree/compiler/Dialect/Stream/IR/StreamOps.cpp
index 7d2a68b2616ca..947c0c85ce7ba 100644
--- a/compiler/src/iree/compiler/Dialect/Stream/IR/StreamOps.cpp
+++ b/compiler/src/iree/compiler/Dialect/Stream/IR/StreamOps.cpp
@@ -1513,12 +1513,9 @@ LogicalResult TensorCloneOp::verify() {
   // information.
   auto sourceEncoding = llvm::cast<RankedTensorType>(op.getSourceEncoding());
   auto resultEncoding = llvm::cast<RankedTensorType>(op.getResultEncoding());
-  if (IREE::Encoding::hasPackedStorageAttr(sourceEncoding) !=
-      IREE::Encoding::hasPackedStorageAttr(resultEncoding)) {
-    return op.emitOpError()
-           << "clones attribute #iree_encoding.packed_storage mismatch";
-  }
-  if (sourceEncoding.getEncoding() != resultEncoding.getEncoding()) {
+  if (sourceEncoding.getEncoding() != resultEncoding.getEncoding() &&
+      !IREE::Encoding::hasPackedStorageAttr(sourceEncoding) &&
+      !IREE::Encoding::hasPackedStorageAttr(resultEncoding)) {
     return op.emitOpError() << "clones changing tensor encoding from "
                             << sourceEncoding.getEncoding() << " to "
                             << resultEncoding.getEncoding() << "; not allowed";