diff --git a/pkg/codegen/schema/bind.go b/pkg/codegen/schema/bind.go
index 5ec1c61df006..3fbebf03f2d6 100644
--- a/pkg/codegen/schema/bind.go
+++ b/pkg/codegen/schema/bind.go
@@ -1580,6 +1580,7 @@ func (t *types) bindFunctionDef(token string) (*Function, hcl.Diagnostics, error
 		}
 		outputs = outs
 		returnType = outs
+		inlineObjectAsReturnType = true
 	}
 
 	fn := &Function{