diff --git a/changelogs/fragments/psrp-output.yaml b/changelogs/fragments/psrp-output.yaml
new file mode 100644
index 00000000000..ab662e4c007
--- /dev/null
+++ b/changelogs/fragments/psrp-output.yaml
@@ -0,0 +1,3 @@
+bugfixes:
+- psrp - Fix blank newlines appearing before ``stdout`` when using ``script`` or ``raw`` with the ``psrp`` connection plugin
+- psrp - Fix issues with propagating errors back to Ansible with ``raw`` tasks
diff --git a/lib/ansible/executor/powershell/exec_wrapper.ps1 b/lib/ansible/executor/powershell/exec_wrapper.ps1
index c473c79ff45..59ce2e88fc3 100644
--- a/lib/ansible/executor/powershell/exec_wrapper.ps1
+++ b/lib/ansible/executor/powershell/exec_wrapper.ps1
@@ -219,7 +219,7 @@ $($ErrorRecord.InvocationInfo.PositionMessage)
             $b64_output = [System.Convert]::ToBase64String([System.Text.Encoding]::UTF8.GetBytes($output))
             Write-Output -InputObject $b64_output
         } else {
-            Write-Output -InputObject $output
+            $output
         }
     } catch {
         Write-AnsibleError -Message "internal error: failed to run exec_wrapper action $action" -ErrorRecord $_
diff --git a/lib/ansible/plugins/connection/psrp.py b/lib/ansible/plugins/connection/psrp.py
index ae3185f9e4c..5704153a917 100644
--- a/lib/ansible/plugins/connection/psrp.py
+++ b/lib/ansible/plugins/connection/psrp.py
@@ -402,9 +402,10 @@ class Connection(ConnectionBase):
             else:
                 display.vvv("PSRP: EXEC %s" % script, host=self._psrp_host)
         else:
-            # in other cases we want to execute the cmd as the script
-            script = cmd
-            display.vvv("PSRP: EXEC %s" % script, host=self._psrp_host)
+            # In other cases we want to execute the cmd as the script. We add on the 'exit $LASTEXITCODE' to ensure the
+            # rc is propagated back to the connection plugin.
+            script = to_text(u"%s\nexit $LASTEXITCODE" % cmd)
+            display.vvv(u"PSRP: EXEC %s" % script, host=self._psrp_host)
 
         rc, stdout, stderr = self._exec_psrp_script(script, in_data)
         return rc, stdout, stderr
@@ -734,29 +735,29 @@ if ($bytes_read -gt 0) {
 
             stdout_list.append(output_msg)
 
-        stdout = u"\r\n".join(stdout_list)
         if len(self.host.ui.stdout) > 0:
-            stdout += u"\r\n" + u"".join(self.host.ui.stdout)
+            stdout_list += self.host.ui.stdout
+        stdout = u"\r\n".join(stdout_list)
 
         stderr_list = []
         for error in pipeline.streams.error:
             # the error record is not as fully fleshed out like we usually get
             # in PS, we will manually create it here
-            error_msg = "%s : %s\r\n" \
-                        "%s\r\n" \
+            command_name = "%s : " % error.command_name if error.command_name else ''
+            position = "%s\r\n" % error.invocation_position_message if error.invocation_position_message else ''
+            error_msg = "%s%s\r\n%s" \
                         "    + CategoryInfo          : %s\r\n" \
                         "    + FullyQualifiedErrorId : %s" \
-                        % (error.command_name, str(error),
-                           error.invocation_position_message, error.message,
-                           error.fq_error)
+                        % (command_name, str(error), position,
+                           error.message, error.fq_error)
             stacktrace = error.script_stacktrace
             if self._play_context.verbosity >= 3 and stacktrace is not None:
                 error_msg += "\r\nStackTrace:\r\n%s" % stacktrace
             stderr_list.append(error_msg)
 
-        stderr = "\r\n".join(stderr_list)
         if len(self.host.ui.stderr) > 0:
-            stderr += "\r\n" + "".join(self.host.ui.stderr)
+            stderr_list += self.host.ui.stderr
+        stderr = u"\r\n".join([to_text(o) for o in stderr_list])
 
         display.vvvvv("PSRP RC: %d" % rc, host=self._psrp_host)
         display.vvvvv("PSRP STDOUT: %s" % stdout, host=self._psrp_host)
diff --git a/test/integration/targets/win_raw/tasks/main.yml b/test/integration/targets/win_raw/tasks/main.yml
index 34d04c54963..31f90b85a6c 100644
--- a/test/integration/targets/win_raw/tasks/main.yml
+++ b/test/integration/targets/win_raw/tasks/main.yml
@@ -93,15 +93,30 @@
     that:
       - "raw_result.stdout_lines[0] == 'wwe=raw'"
 
-# TODO: this test doesn't work anymore since we had to internally map Write-Host to Write-Output
-- name: run a raw command with unicode chars and quoted args (from https://github.com/ansible/ansible-modules-core/issues/1929)
-  raw: Write-Host --% icacls D:\somedir\ /grant "! ЗАО. Руководство":F
-  register: raw_result2
-
-- name: make sure raw passes command as-is and doesn't split/rejoin args
-  assert:
-    that:
-      - "raw_result2.stdout_lines[0] == '--% icacls D:\\\\somedir\\\\ /grant \"! ЗАО. Руководство\":F'"
+- name: unicode tests for winrm
+  when: ansible_connection != 'psrp'  # Write-Host does not work over PSRP
+  block:
+  - name: run a raw command with unicode chars and quoted args (from https://github.com/ansible/ansible-modules-core/issues/1929)
+    raw: Write-Host --% icacls D:\somedir\ /grant "! ЗАО. Руководство":F
+    register: raw_result2
+
+  - name: make sure raw passes command as-is and doesn't split/rejoin args
+    assert:
+      that:
+        - "raw_result2.stdout_lines[0] == '--% icacls D:\\\\somedir\\\\ /grant \"! ЗАО. Руководство\":F'"
+
+- name: unicode tests for psrp
+  when: ansible_connection == 'psrp'
+  block:
+  # Cannot test unicode passed into separate exec as PSRP doesn't run with a preset CP of 65001 which reuslts in ? for unicode chars
+  - name: run a raw command with unicode chars
+    raw: Write-Output "! ЗАО. Руководство"
+    register: raw_result2
+
+  - name: make sure raw passes command as-is and doesn't split/rejoin args
+    assert:
+      that:
+        - "raw_result2.stdout_lines[0] == '! ЗАО. Руководство'"
 
 # Assumes MaxShellsPerUser == 30 (the default)
 
diff --git a/test/integration/targets/win_script/tasks/main.yml b/test/integration/targets/win_script/tasks/main.yml
index 0134f12d508..4d57eda2ba3 100644
--- a/test/integration/targets/win_script/tasks/main.yml
+++ b/test/integration/targets/win_script/tasks/main.yml
@@ -71,11 +71,22 @@
   assert:
     that:
     - test_script_with_large_args_result.rc == 0
-    - test_script_with_large_args_result.stdout == long_string + "\r\n"
     - not test_script_with_large_args_result.stderr
     - test_script_with_large_args_result is not failed
     - test_script_with_large_args_result is changed
 
+- name: check that script ran and received arguments correctly with winrm output
+  assert:
+    that:
+    - test_script_with_large_args_result.stdout == long_string + "\r\n"
+  when: ansible_connection != 'psrp'
+
+- name: check that script ran and received arguments correctly with psrp output
+  assert:
+    that:
+    - test_script_with_large_args_result.stdout == long_string
+  when: ansible_connection == 'psrp'
+
 - name: run test script that takes parameters passed via splatting
   script: test_script_with_splatting.ps1 @{ This = 'this'; That = '{{ test_win_script_value }}'; Other = 'other'}
   register: test_script_with_splatting_result