diff --git a/coroutine_panic_stack_test.go b/coroutine_panic_stack_test.go
new file mode 100644
index 000000000..5f699382d
--- /dev/null
+++ b/coroutine_panic_stack_test.go
@@ -0,0 +1,79 @@
+package lua
+
+import (
+	"context"
+	"strings"
+	"testing"
+)
+
+func TestResumePanicIncludesGoStack(t *testing.T) {
+	var logged string
+	L := NewState(Options{
+		IncludeGoStackTrace: true,
+		PanicHandler: func(_ *LState, message string) {
+			logged = message
+		},
+	})
+	defer L.Close()
+
+	L.SetGlobal("panic_from_go", L.NewFunction(func(*LState) int {
+		panic("coroutine panic sentinel")
+	}))
+	if err := L.DoString(`function run_panic() panic_from_go() end`); err != nil {
+		t.Fatal(err)
+	}
+
+	co := L.NewThreadWithContext(context.Background())
+	fn := L.GetGlobal("run_panic").(*LFunction)
+	state, _, err := L.Resume(co, fn)
+	if state != ResumeError {
+		t.Fatalf("resume state = %v, want ResumeError", state)
+	}
+	if err == nil {
+		t.Fatal("resume error is nil")
+	}
+	if !strings.Contains(err.Error(), "coroutine panic sentinel") {
+		t.Fatalf("resume error = %q, want panic message", err)
+	}
+	if !strings.Contains(err.Error(), "TestResumePanicIncludesGoStack") {
+		t.Fatalf("resume error = %q, want Go stack", err)
+	}
+	if logged != err.Error() {
+		t.Fatalf("panic handler message = %q, want returned error", logged)
+	}
+}
+
+func TestResumePanicHandlerPanicKeepsOriginalError(t *testing.T) {
+	L := NewState(Options{
+		PanicHandler: func(*LState, string) {
+			panic("panic handler sentinel")
+		},
+	})
+	defer L.Close()
+
+	L.SetGlobal("panic_from_go", L.NewFunction(func(*LState) int {
+		panic("coroutine panic sentinel")
+	}))
+	if err := L.DoString(`function run_panic() panic_from_go() end`); err != nil {
+		t.Fatal(err)
+	}
+
+	co := L.NewThreadWithContext(context.Background())
+	fn := L.GetGlobal("run_panic").(*LFunction)
+	state, _, err := L.Resume(co, fn)
+	if state != ResumeError {
+		t.Fatalf("resume state = %v, want ResumeError", state)
+	}
+	if err == nil || !strings.Contains(err.Error(), "coroutine panic sentinel") {
+		t.Fatalf("resume error = %v, want original panic", err)
+	}
+	if strings.Contains(err.Error(), "panic handler sentinel") {
+		t.Fatalf("resume error = %q, want no handler panic", err)
+	}
+	if !co.Dead {
+		t.Fatal("coroutine is not dead")
+	}
+	if status := L.Status(co); status != "dead" {
+		t.Fatalf("coroutine status = %q, want dead", status)
+	}
+}
diff --git a/state.go b/state.go
index 24370b2dd..50c379b44 100644
--- a/state.go
+++ b/state.go
@@ -108,6 +108,7 @@ type Options struct {
 	SkipOpenLibs bool
 	// Tells whether a Go stacktrace should be included in a Lua stacktrace when panics occur.
 	IncludeGoStackTrace bool
+	PanicHandler        func(*LState, string)
 	// If `MinimizeStackMemory` is set, the call stack will be automatically grown or shrank up to a limit of
 	// `CallStackSize` in order to minimize memory usage. This does incur a slight performance penalty.
 	MinimizeStackMemory bool
diff --git a/vm.go b/vm.go
index 2dbba2dff..5e9963f1d 100644
--- a/vm.go
+++ b/vm.go
@@ -4,6 +4,7 @@ import (
 	"context"
 	"fmt"
 	"math"
+	"runtime/debug"
 	"strings"
 	"sync"
 )
@@ -3135,7 +3136,12 @@ func threadRun(L *LState) {
 					SetErrorMetatable(L, e)
 				}
 			} else {
-				lv = LString(fmt.Sprint(rcv))
+				message := fmt.Sprint(rcv)
+				if L.Options.IncludeGoStackTrace {
+					message += "\n" + string(debug.Stack())
+				}
+				reportPanic(L, message)
+				lv = LString(message)
 			}
 
 			// Check if there's a protected frame that should catch this error
@@ -3163,6 +3169,16 @@ func threadRun(L *LState) {
 	L.mainLoop(L, nil)
 }
 
+func reportPanic(L *LState, message string) {
+	if L.Options.PanicHandler == nil {
+		return
+	}
+	defer func() {
+		_ = recover()
+	}()
+	L.Options.PanicHandler(L, message)
+}
+
 // handleProtectedError searches for a protected (pcall) frame and handles the error.
 // Returns true if error was handled, false if it should propagate.
 func handleProtectedError(L *LState, errValue LValue, _ interface{}) bool {