diff --git a/eth/vm/forks/spurious_dragon/constants.py b/eth/vm/forks/spurious_dragon/constants.py
index 304d4c88cf..e14555d66f 100644
--- a/eth/vm/forks/spurious_dragon/constants.py
+++ b/eth/vm/forks/spurious_dragon/constants.py
@@ -10,4 +10,4 @@
 
 
 # https://github.com/ethereum/EIPs/issues/170
-EIP170_CODE_SIZE_LIMIT = 24577
+EIP170_CODE_SIZE_LIMIT = 24576  # 2**14 + 2**13
diff --git a/tests/core/vm/test_spurious_dragon_computation.py b/tests/core/vm/test_spurious_dragon_computation.py
new file mode 100644
index 0000000000..c1bd2e2833
--- /dev/null
+++ b/tests/core/vm/test_spurious_dragon_computation.py
@@ -0,0 +1,80 @@
+from unittest import mock
+
+import pytest
+from eth_utils import (
+    to_canonical_address,
+)
+
+from eth import (
+    Chain,
+)
+from eth.vm.computation import (
+    BaseComputation,
+)
+from eth.vm.forks.spurious_dragon.computation import (
+    SpuriousDragonComputation,
+)
+from eth.vm.forks.spurious_dragon.constants import (
+    EIP170_CODE_SIZE_LIMIT
+)
+from eth.vm.message import (
+    Message,
+)
+from eth.vm.transaction_context import (
+    BaseTransactionContext,
+)
+
+NORMALIZED_ADDRESS_A = "0x0f572e5295c57f15886f9b263e2f6d2d6c7b5ec6"
+NORMALIZED_ADDRESS_B = "0xcd1722f3947def4cf144679da39c4c32bdc35681"
+CANONICAL_ADDRESS_A = to_canonical_address(NORMALIZED_ADDRESS_A)
+CANONICAL_ADDRESS_B = to_canonical_address(NORMALIZED_ADDRESS_B)
+
+
+@pytest.fixture
+def make_computation():
+    message = Message(
+        to=CANONICAL_ADDRESS_B,
+        sender=CANONICAL_ADDRESS_A,
+        value=1,
+        data=b'',
+        code=b'',
+        gas=5000000,
+    )
+    transaction_context = BaseTransactionContext(gas_price=1, origin=CANONICAL_ADDRESS_B, )
+
+    def _make_computation(chain) -> BaseComputation:
+        state = chain.get_vm().state
+        state.set_balance(CANONICAL_ADDRESS_A, 1000)
+        computation = SpuriousDragonComputation(
+            state=state,
+            message=message,
+            transaction_context=transaction_context,
+        )
+
+        return computation
+
+    return _make_computation
+
+
+@pytest.mark.parametrize('chain_without_block_validation', [Chain, ], indirect=True)
+@pytest.mark.parametrize(
+    'computation_output',
+    [
+        b'\x00' * (EIP170_CODE_SIZE_LIMIT + 1),
+        b'\x00' * EIP170_CODE_SIZE_LIMIT,
+        b'\x00' * (EIP170_CODE_SIZE_LIMIT - 1),
+    ]
+)
+def test_computation_output_size_limit(chain_without_block_validation,
+                                       make_computation,
+                                       computation_output):
+    computation: BaseComputation = make_computation(chain_without_block_validation)
+    computation.output = computation_output
+
+    with mock.patch.object(SpuriousDragonComputation, 'apply_message', return_value=computation):
+        computation.apply_create_message()
+
+        if len(computation_output) >= EIP170_CODE_SIZE_LIMIT:
+            assert computation.is_error
+        else:
+            assert not computation.is_error