diff --git a/tests/test-convert-svn b/tests/test-convert-svn
--- a/tests/test-convert-svn
+++ b/tests/test-convert-svn
@@ -58,3 +58,58 @@ echo '[extensions]' >> $HGRCPATH
 echo 'hgext.graphlog =' >> $HGRCPATH
 hg glog -R fmap --template '#rev# #desc|firstline# files: #files#\n'
 
+########################################
+
+echo "# now tests that it works with trunk/branches/tags layout"
+echo
+echo % initial svn import
+mkdir projA
+cd projA
+mkdir trunk
+mkdir branches
+mkdir tags
+cd ..
+
+svnurl=file://$svnpath/svn-repo/projA
+svn import -m "init projA" projA $svnurl | fix_path
+
+
+echo % update svn repository
+svn co $svnurl/trunk A | fix_path
+cd A
+echo hello > letter.txt
+svn add letter.txt
+svn ci -m hello
+
+echo world >> letter.txt
+svn ci -m world
+
+svn copy -m "tag v0.1" $svnurl/trunk $svnurl/tags/v0.1
+
+echo 'nice day today!' >> letter.txt
+svn ci -m "nice day"
+cd ..
+
+echo % convert to hg once
+hg convert $svnurl A-hg
+
+echo % update svn repository again
+cd A
+echo "see second letter" >> letter.txt
+echo "nice to meet you" > letter2.txt
+svn add letter2.txt
+svn ci -m "second letter"
+
+svn copy -m "tag v0.2" $svnurl/trunk $svnurl/tags/v0.2
+
+echo "blah-blah-blah" >> letter2.txt
+svn ci -m "work in progress"
+cd ..
+
+echo % test incremental conversion
+hg convert $svnurl A-hg
+
+cd A-hg
+hg glog --template '#rev# #desc|firstline# files: #files#\n'
+hg tags -q
+cd ..