diff --git a/CHANGELOG.md b/CHANGELOG.md
index d8683622f..b5531bf47 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -41,7 +41,6 @@ This document follows the conventions laid out in [Keep a CHANGELOG][].
 -   Reattach python exception traceback information (#545)
 -   PythonEngine.Intialize will now call `Py_InitializeEx` with a default value of 0, so signals will not be configured by default on embedding. This is different from the previous behaviour, where `Py_Initialize` was called instead, which sets initSigs to 1. ([#449][i449])
 -   Refactored MethodBinder.Bind in preparation to make it extensible (#829)
--   When calling C# from Python, enable passing argument of any type to a parameter of C# type `object` by wrapping it into `PyObject` instance. ([#881][i881])
 -   Look for installed Windows 10 sdk's during installation instead of relying on specific versions.
 
 ### Fixed
diff --git a/src/embed_tests/Python.EmbeddingTest.csproj b/src/embed_tests/Python.EmbeddingTest.csproj
index d351709a4..faa55fa27 100644
--- a/src/embed_tests/Python.EmbeddingTest.csproj
+++ b/src/embed_tests/Python.EmbeddingTest.csproj
@@ -89,7 +89,6 @@
     <Compile Include="TestDomainReload.cs" />
     <Compile Include="TestExample.cs" />
     <Compile Include="TestFinalizer.cs" />
-    <Compile Include="TestInstanceWrapping.cs" />
     <Compile Include="TestPyAnsiString.cs" />
     <Compile Include="TestPyFloat.cs" />
     <Compile Include="TestPyInt.cs" />
diff --git a/src/embed_tests/TestInstanceWrapping.cs b/src/embed_tests/TestInstanceWrapping.cs
deleted file mode 100644
index ec275d67a..000000000
--- a/src/embed_tests/TestInstanceWrapping.cs
+++ /dev/null
@@ -1,58 +0,0 @@
-using System;
-using System.Globalization;
-using NUnit.Framework;
-using Python.Runtime;
-
-namespace Python.EmbeddingTest
-{
-    public class TestInstanceWrapping
-    {
-        [OneTimeSetUp]
-        public void SetUp()
-        {
-            PythonEngine.Initialize();
-        }
-
-        [OneTimeTearDown]
-        public void Dispose()
-        {
-            PythonEngine.Shutdown();
-        }
-
-        // regression test for https://github.com/pythonnet/pythonnet/issues/811
-        [Test]
-        public void OverloadResolution_UnknownToObject()
-        {
-            var overloaded = new Overloaded();
-            using (Py.GIL())
-            {
-                var o = overloaded.ToPython();
-
-                dynamic callWithSelf = PythonEngine.Eval("lambda o: o.ObjOrClass(KeyError())");
-                callWithSelf(o);
-                Assert.AreEqual(Overloaded.Object, overloaded.Value);
-            }
-        }
-
-        class Base {}
-        class Derived: Base { }
-
-        class Overloaded: Derived
-        {
-            public int Value { get; set; }
-            public void IntOrStr(int arg) => this.Value = arg;
-            public void IntOrStr(string arg) =>
-                this.Value = int.Parse(arg, NumberStyles.Integer, CultureInfo.InvariantCulture);
-
-            public const int Object = 1;
-            public const int ConcreteClass = 2;
-            public void ObjOrClass(object _) => this.Value = Object;
-            public void ObjOrClass(Overloaded _) => this.Value = ConcreteClass;
-
-            public const int Base = ConcreteClass + 1;
-            public const int Derived = Base + 1;
-            public void BaseOrDerived(Base _) => this.Value = Base;
-            public void BaseOrDerived(Derived _) => this.Value = Derived;
-        }
-    }
-}
diff --git a/src/runtime/converter.cs b/src/runtime/converter.cs
index 1883dc32b..11c67bf82 100644
--- a/src/runtime/converter.cs
+++ b/src/runtime/converter.cs
@@ -382,9 +382,12 @@ internal static bool ToManagedValue(IntPtr value, Type obType,
                     return ToArray(value, typeof(object[]), out result, setError);
                 }
 
-                Runtime.XIncref(value); // PyObject() assumes ownership
-                result = new PyObject(value);
-                return true;
+                if (setError)
+                {
+                    Exceptions.SetError(Exceptions.TypeError, "value cannot be converted to Object");
+                }
+
+                return false;
             }
 
             // Conversion to 'Type' is done using the same mappings as above for objects.