diff --git a/harbour/ChangeLog b/harbour/ChangeLog
index 0c734dc5b0..af5af7f250 100644
--- a/harbour/ChangeLog
+++ b/harbour/ChangeLog
@@ -8,6 +8,15 @@
    2008-12-31 13:59 UTC+0100 Foo Bar (foo.bar foobar.org)
 */
 
+2008-09-29 18:49 UTC+0200 Przemyslaw Czerpak (druzus/at/priv.onet.pl)
+  * harbour/config/os2/gcc.cf
+  * harbour/make_gnu_os2.cmd
+    * moved -DTCPV40HDRS to make_gnu_os2.cmd and added small description
+      about this macro. By default is enabled, can be disabled by
+      setting environment variable HB_OS2_TCP32 to 'yes', f.e.
+         SET HB_OS2_TCP32=yes
+      David and Maurilio, please check me.
+
 2008-09-29 13:11 UTC-0300 Antonio Carlos Pantaglione <toninho@fwi.com.br>
    * contrib/xhb/common.mak
    * contrib/xhb/makefile
diff --git a/harbour/config/os2/gcc.cf b/harbour/config/os2/gcc.cf
index f716c2c35d..38376bddfa 100644
--- a/harbour/config/os2/gcc.cf
+++ b/harbour/config/os2/gcc.cf
@@ -15,19 +15,11 @@ CC_OUT = -o
 CPPFLAGS = -I. -I$(HB_INC_COMPILE)
 CFLAGS = -Wall -W -O3
 
-# 26/03/2004 - <maurilio.longo@libero.it>
-# added -DTCPV40HDRS to compile with GCC 3.2.2 on OS/2 v4.0 with mixed
-# 16/32 bit tcp/ip stack
-# can be removed if compiled on a tcp/ip stack >= 4.1 (eComStation,
-# for example), if you do not need it please use HB_OS2_NEW_TCP=yes
-# environment variable.
-ifneq ($(HB_OS2_NEW_TCP),yes)
-   CFLAGS += -DTCPV40HDRS
-endif
-
 LD = gcc
 LDFLAGS =
-LD_OUT = -o $(SPACE)
+# NOTE: The ending space after -o is important, please preserve it.
+#       Now solved with '$(subst x,x, )' expression.
+LD_OUT = -o$(subst x,x, )
 
 ifeq ($(C_MAIN),)
 ifeq ($(HB_GT_LIB),os2pm)
diff --git a/harbour/make_gnu_os2.cmd b/harbour/make_gnu_os2.cmd
index d31f48c8db..1404a10a68 100644
--- a/harbour/make_gnu_os2.cmd
+++ b/harbour/make_gnu_os2.cmd
@@ -9,4 +9,29 @@ rem for further information about see make_gnu.bat
 if "%HB_ARCHITECTURE%" == "" set HB_ARCHITECTURE=os2
 if "%HB_COMPILER%" == "" set HB_COMPILER=gcc
 
+
+rem In GCC3.2.2 the TCP/IP headers and libraries scheme have been changed.
+rem The default is the current OS/2 tcpip toolkit (BSD 4.4 based).
+rem To target the older OS/2 tcpip stack (BSD 4.3 based) and create
+rem binaries which can be executed also on older OS2 versions you must
+rem define TCPV40HDRS before including any TCP/IP headers and make
+rem sure usr/lib/tcpipv4 is searched before usr/lib (this is to
+rem get the right libsocket). It is recommended to use the -D
+rem compiler option for the define and either the LIBRARY_PATH or
+rem the -L compiler/linker option for the library.
+rem For building Harbour you can also use L_USR environment variable,
+rem f.e.
+rem         SET L_USR=-Le:\usr\lib\tcpipv4
+rem 
+rem If you are using newer OS2 version with tcp/ip stack >= 4.1
+rem (eComStation, for example) and you do not need backward binary
+rem compatibility then you can disable it by setting HB_OS2_TCP32
+rem environment variable, f.e.
+rem         SET HB_OS2_TCP32=yes
+
+if "%HB_OS2_TCP32%" == "yes" goto tcp32
+if "%HB_OS2_TCP32%" == "YES" goto tcp32
+   set C_USR=-DTCPV40HDRS %C_USR%
+:tcp32
+
 make -r %1 %2 %3 %4 %5 %6 %7 %8 %9 > make_gnu.log