diff --git a/docs/Dialects/Debug.md b/docs/Dialects/Debug.md
index 4d9dc37d2e..cf461ec55b 100644
--- a/docs/Dialects/Debug.md
+++ b/docs/Dialects/Debug.md
@@ -140,6 +140,45 @@ still expose the constant values under the name `Depth` and `Width` in the debug
 info.
 
 
+## Tracking Inlined Modules
+
+The `dbg.scope` op can be used to track debug information about inlined modules.
+By default, operations such as `hw.module` in conjunction with `hw.instance`
+introduce an implicit module scope. All debug operations within a module are
+added to that implicit scope, unless they have an explicit `scope` operand. This
+explicit scope operand can be used to group the DI of an inlined module.
+Consider the following modules:
+
+```
+hw.module @Foo(in %a: i42) {
+  dbg.variable "a", %a : i42
+  hw.instance "bar" @Bar(x: %a: i42)
+}
+hw.module @Bar(in %x: i42) {
+  dbg.variable "x", %x : i42
+  %0 = comb.mul %x, %x : i42
+  dbg.variable "squared", %0 : i42
+}
+```
+
+If we inline module `Bar`, we can introduce a `dbg.scope` operation to represent
+the original instance, and group all debug variables in `Bar` under this
+explicit scope:
+
+```
+hw.module @Foo(in %a: i42) {
+  dbg.variable "a", %a : i42
+  %0 = dbg.scope "bar", "Bar"
+  dbg.variable "x", %a scope %0 : i42
+  %1 = comb.mul %a, %a : i42
+  dbg.variable "squared", %1 scope %0 : i42
+}
+```
+
+Despite the fact that the instance op no longer exists, the explicit `dbg.scope`
+op models the additional levle of hierarchy that used to exist in the input.
+
+
 ## Types
 
 
diff --git a/include/circt/Analysis/DebugInfo.h b/include/circt/Analysis/DebugInfo.h
index 141df0f4a5..1eb1fc3526 100644
--- a/include/circt/Analysis/DebugInfo.h
+++ b/include/circt/Analysis/DebugInfo.h
@@ -34,6 +34,8 @@ struct DIModule {
   SmallVector<DIVariable *, 0> variables;
   /// If this is an extern declaration.
   bool isExtern = false;
+  /// If this is an inline scope created by a `dbg.scope` operation.
+  bool isInline = false;
 };
 
 struct DIInstance {
diff --git a/include/circt/Dialect/Debug/DebugOps.td b/include/circt/Dialect/Debug/DebugOps.td
index 712d6f53ab..99a5c6cb3b 100644
--- a/include/circt/Dialect/Debug/DebugOps.td
+++ b/include/circt/Dialect/Debug/DebugOps.td
@@ -19,6 +19,37 @@ class DebugOp<string mnemonic, list<Trait> traits = []> :
   Op<DebugDialect, mnemonic, traits>;
 
 
+def ScopeOp : DebugOp<"scope"> {
+  let summary = "Define a scope for debug values";
+  let description = [{
+    Creates an additional level of hierarchy in the DI, a "scope", which can be
+    used to group variables and other scopes.
+
+    Operations such as `hw.module` introduce an implicit scope. All debug
+    operations within a module are added to that implicit scope, unless they
+    have an explicit `scope` operand. Providing an explicit scope can be used to
+    represent inlined modules.
+
+    Scopes in DI do not necessarily have to correspond to levels of a module
+    hierarchy. They can also be used to model things like control flow scopes,
+    call stacks, and other source-language concepts.
+
+    The `scope` operand of any debug dialect operation must be defined locally
+    by a `dbg.scope` operation. It cannot be a block argument. (This is intended
+    as a temporary restriction, to be lifted in the future.)
+  }];
+  let arguments = (ins
+    StrAttr:$instanceName,
+    StrAttr:$moduleName,
+    Optional<ScopeType>:$scope
+  );
+  let results = (outs ScopeType:$result);
+  let assemblyFormat = [{
+    $instanceName `,` $moduleName (`scope` $scope^)? attr-dict
+  }];
+}
+
+
 def VariableOp : DebugOp<"variable"> {
   let summary = "A named value to be captured in debug info";
   let description = [{
@@ -34,10 +65,17 @@ def VariableOp : DebugOp<"variable"> {
     these source language values can be reconstituted from the actual IR values
     present at the end of compilation.
 
-    See the rationale for examples and details.
+    See the rationale for examples and details. See the `dbg.scope` operation
+    for additional details on how to use the `scope` operand.
+  }];
+  let arguments = (ins
+    StrAttr:$name,
+    AnyType:$value,
+    Optional<ScopeType>:$scope
+  );
+  let assemblyFormat = [{
+    $name `,` $value (`scope` $scope^)? attr-dict `:` type($value)
   }];
-  let arguments = (ins StrAttr:$name, AnyType:$value);
-  let assemblyFormat = [{ $name `,` $value attr-dict `:` type($value) }];
 }
 
 
diff --git a/include/circt/Dialect/Debug/DebugTypes.td b/include/circt/Dialect/Debug/DebugTypes.td
index 37faa171a3..48c99f2eb8 100644
--- a/include/circt/Dialect/Debug/DebugTypes.td
+++ b/include/circt/Dialect/Debug/DebugTypes.td
@@ -14,6 +14,12 @@ include "mlir/IR/AttrTypeBase.td"
 
 class DebugTypeDef<string name> : TypeDef<DebugDialect, name> { }
 
+def ScopeType : DebugTypeDef<"Scope"> {
+  let mnemonic = "scope";
+  let summary = "debug scope";
+  let description = "The result of a `dbg.scope` operation.";
+}
+
 def StructType : DebugTypeDef<"Struct"> {
   let mnemonic = "struct";
   let summary = "debug struct aggregate";
diff --git a/lib/Analysis/DebugInfo.cpp b/lib/Analysis/DebugInfo.cpp
index c69fa5b83f..66877d7955 100644
--- a/lib/Analysis/DebugInfo.cpp
+++ b/lib/Analysis/DebugInfo.cpp
@@ -88,14 +88,34 @@ void DebugInfoBuilder::visitModule(hw::HWModuleOp moduleOp, DIModule &module) {
   // return. Otherwise collect ports, instances, and variables as a
   // fallback.
 
-  // Check what kind of DI is present in the module.
+  // Check what kind of DI is present in the module. Also create additional
+  // `DIModule` hierarchy levels for each explicit scope op in the module.
+  SmallDenseMap<debug::ScopeOp, DIModule *> scopes;
   bool hasVariables = false;
   bool hasInstances = false;
   moduleOp.walk([&](Operation *op) {
     if (isa<debug::VariableOp>(op))
       hasVariables = true;
+    if (auto scopeOp = dyn_cast<debug::ScopeOp>(op)) {
+      auto *node = createModule();
+      node->isInline = true;
+      node->name = scopeOp.getModuleNameAttr();
+      node->op = scopeOp;
+      scopes.insert({scopeOp, node});
+    }
   });
 
+  // Helper function to resolve a `scope` operand on a variable to the
+  // `DIModule` into which the variable should be collected. If the `scope` is
+  // not set, or it isn't a valid `dbg.scope` op, returns the `module` argument
+  // of this function.
+  auto getScope = [&](Value scopeValue) -> DIModule & {
+    if (scopeValue)
+      if (auto scopeOp = scopeValue.getDefiningOp<debug::ScopeOp>())
+        return *scopes.lookup(scopeOp);
+    return module;
+  };
+
   // If the module has no DI for variables, add variables for each of the ports
   // as a fallback.
   if (!hasVariables) {
@@ -119,10 +139,18 @@ void DebugInfoBuilder::visitModule(hw::HWModuleOp moduleOp, DIModule &module) {
       var->name = varOp.getNameAttr();
       var->loc = varOp.getLoc();
       var->value = varOp.getValue();
-      module.variables.push_back(var);
+      getScope(varOp.getScope()).variables.push_back(var);
       return;
     }
 
+    if (auto scopeOp = dyn_cast<debug::ScopeOp>(op)) {
+      auto *instance = createInstance();
+      instance->name = scopeOp.getInstanceNameAttr();
+      instance->op = scopeOp;
+      instance->module = scopes.lookup(scopeOp);
+      getScope(scopeOp.getScope()).instances.push_back(instance);
+    }
+
     // Fallback if the module has no DI for its instances.
     if (!hasInstances) {
       if (auto instOp = dyn_cast<hw::InstanceOp>(op)) {
diff --git a/lib/Dialect/FIRRTL/Transforms/MaterializeDebugInfo.cpp b/lib/Dialect/FIRRTL/Transforms/MaterializeDebugInfo.cpp
index 3c391cf230..26ab68b39a 100644
--- a/lib/Dialect/FIRRTL/Transforms/MaterializeDebugInfo.cpp
+++ b/lib/Dialect/FIRRTL/Transforms/MaterializeDebugInfo.cpp
@@ -57,7 +57,8 @@ void MaterializeDebugInfoPass::materializeVariable(OpBuilder &builder,
   if (name.getValue().starts_with("_"))
     return;
   if (auto dbgValue = convertToDebugAggregates(builder, value))
-    builder.create<debug::VariableOp>(value.getLoc(), name, dbgValue);
+    builder.create<debug::VariableOp>(value.getLoc(), name, dbgValue,
+                                      /*scope=*/Value{});
 }
 
 /// Unpack all aggregates in a FIRRTL value and repack them as debug aggregates.
diff --git a/lib/Target/DebugInfo/DumpDebugInfo.cpp b/lib/Target/DebugInfo/DumpDebugInfo.cpp
index b59026cc0e..fc63c354b8 100644
--- a/lib/Target/DebugInfo/DumpDebugInfo.cpp
+++ b/lib/Target/DebugInfo/DumpDebugInfo.cpp
@@ -13,6 +13,8 @@
 using namespace mlir;
 using namespace circt;
 
+static void dump(DIModule &module, raw_indented_ostream &os);
+
 static void dump(DIVariable &variable, raw_indented_ostream &os) {
   os << "Variable " << variable.name;
   if (variable.loc)
@@ -38,6 +40,11 @@ static void dump(DIInstance &instance, raw_indented_ostream &os) {
   if (instance.op)
     os << " for " << instance.op->getName() << " at " << instance.op->getLoc();
   os << "\n";
+  if (instance.module->isInline) {
+    os.indent();
+    dump(*instance.module, os);
+    os.unindent();
+  }
 }
 
 static void dump(DIModule &module, raw_indented_ostream &os) {
diff --git a/test/Analysis/debug-info.mlir b/test/Analysis/debug-info.mlir
index 20adaf862f..72256ce01a 100644
--- a/test/Analysis/debug-info.mlir
+++ b/test/Analysis/debug-info.mlir
@@ -48,3 +48,29 @@ hw.module @Aggregates(in %data_a: i32, in %data_b: index, in %data_c_0: i17, in
   %1 = dbg.struct {"a": %data_a, "b": %data_b, "c": %0} : i32, index, !dbg.array<i17>
   dbg.variable "data", %1 : !dbg.struct<i32, index, !dbg.array<i17>>
 }
+
+// CHECK-LABEL: Module "InlineScopes" for hw.module
+// CHECK:       Variable "a"
+// CHECK-NEXT:    Arg 0 of hw.module of type i42
+// CHECK:       Instance "inner" of "InnerModule" for dbg.scope
+// CHECK:         Module "InnerModule" for dbg.scope
+// CHECK:           Variable "b"
+// CHECK-NEXT:        Result 0 of comb.mul of type i42
+hw.module @InlineScopes(in %a: i42) {
+  dbg.variable "a", %a : i42
+  %0 = comb.mul %a, %a : i42
+  %1 = dbg.scope "inner", "InnerModule"
+  dbg.variable "b", %0 scope %1 : i42
+}
+
+// CHECK-LABEL: Module "NestedScopes" for hw.module
+// CHECK:       Instance "foo" of "Foo" for dbg.scope
+// CHECK:         Module "Foo" for dbg.scope
+// CHECK:           Instance "bar" of "Bar" for dbg.scope
+// CHECK:             Module "Bar" for dbg.scope
+// CHECK:               Variable "a"
+hw.module @NestedScopes(in %a: i42) {
+  %0 = dbg.scope "foo", "Foo"
+  %1 = dbg.scope "bar", "Bar" scope %0
+  dbg.variable "a", %a scope %1 : i42
+}
diff --git a/test/Dialect/Debug/basic.mlir b/test/Dialect/Debug/basic.mlir
index 83428f3401..251ff6b825 100644
--- a/test/Dialect/Debug/basic.mlir
+++ b/test/Dialect/Debug/basic.mlir
@@ -19,6 +19,13 @@ func.func @Foo(%arg0: i32, %arg1: index, %arg2: f64) {
   %1 = dbg.array [%arg1, %arg1] : index
   dbg.variable "megabar", %1 : !dbg.array
 
+  // CHECK-NEXT: [[TMP:%.+]] = dbg.scope "inlined", "Bar"
+  // CHECK-NEXT: dbg.variable {{.+}} scope [[TMP]]
+  // CHECK-NEXT: dbg.scope {{.+}} scope [[TMP]]
+  %2 = dbg.scope "inlined", "Bar"
+  dbg.variable "x", %arg0 scope %2 : i32
+  dbg.scope "y", "Baz" scope %2
+
   return
 }