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That should definitely work as-is and not result in that error. Is there anything else in your repro case that might be triggering this?

I think the error is from a slightly different construction where the apply is called from inside the object?

Yeah, the error happens when I use it like this.

const taskRolePolicy = new aws.iam.Policy('ecs-XXXXXX-task', {
    name: 'ecs-XXXXXX-task',
    policy: JSON.stringify({
      "Version": "2012-10-17",
      "Statement": [
        {
          "Effect": "Allow",
          "Action": [
            "kms:Decrypt"
          ],
          "Resource": [
            kmsKey.id.apply(id => id)
          ]
        }
      ]
    })
  })

or this

const taskRolePolicy = new aws.iam.Policy('ecs-XXXXXX-task', {
    name: 'ecs-XXXXX-task',
    policy: `{
  "Version": "2012-10-17",
  "Statement": [
    {
      "Effect": "Allow",
      "Action": [
        "kms:Decrypt"
      ],
      "Resource": [
        ${kmsKey.id.apply(id => id)}
      ]
    }
  ]
}`
  })

@busy-umbrella-36067 they are expected: see the other way I posted here: https://pulumi-community.slack.com/archives/C84L4E3N1/p1554173011157600