diff --git a/invokeai/app/invocations/flux_denoise.py b/invokeai/app/invocations/flux_denoise.py
index ee5ed93668..f601e0c2fe 100644
--- a/invokeai/app/invocations/flux_denoise.py
+++ b/invokeai/app/invocations/flux_denoise.py
@@ -384,7 +384,6 @@ class FluxDenoiseInvocation(BaseInvocation, WithMetadata, WithBoard):
                 dtype=inference_dtype,
             )
 
-            # Instantiate our new extension if the conditioning is provided
             kontext_extension = None
             if self.kontext_conditioning is not None:
                 # We need a VAE to encode the reference image. We can reuse the
@@ -400,7 +399,6 @@ class FluxDenoiseInvocation(BaseInvocation, WithMetadata, WithBoard):
                     dtype=inference_dtype,
                 )
 
-            # THE CRITICAL INTEGRATION POINT
             final_img, final_img_ids = x, img_ids
             original_seq_len = x.shape[1]  # Store the original sequence length
             if kontext_extension is not None:
@@ -426,7 +424,6 @@ class FluxDenoiseInvocation(BaseInvocation, WithMetadata, WithBoard):
                 img_cond=img_cond,
             )
 
-            # Extract only the main image tokens if kontext was applied
             if kontext_extension is not None:
                 x = x[:, :original_seq_len, :]  # Keep only the first original_seq_len tokens
 
diff --git a/invokeai/backend/flux/extensions/kontext_extension.py b/invokeai/backend/flux/extensions/kontext_extension.py
index e4606a21b7..b6ae085b0c 100644
--- a/invokeai/backend/flux/extensions/kontext_extension.py
+++ b/invokeai/backend/flux/extensions/kontext_extension.py
@@ -11,30 +11,48 @@ from invokeai.backend.stable_diffusion.diffusers_pipeline import image_resized_t
 
 
 def generate_img_ids_with_offset(
-    h: int, w: int, batch_size: int, device: torch.device, dtype: torch.dtype, idx_offset: int = 0
+    latent_height: int, latent_width: int, batch_size: int, device: torch.device, dtype: torch.dtype, idx_offset: int = 0
 ) -> torch.Tensor:
     """Generate tensor of image position ids with an optional offset.
 
     Args:
-        h (int): Height of image in latent space.
-        w (int): Width of image in latent space.
-        batch_size (int): Batch size.
-        device (torch.device): Device.
-        dtype (torch.dtype): dtype.
+        latent_height (int): Height of image in latent space (after packing, this becomes h//2).
+        latent_width (int): Width of image in latent space (after packing, this becomes w//2).
+        batch_size (int): Number of images in the batch.
+        device (torch.device): Device to create tensors on.
+        dtype (torch.dtype): Data type for the tensors.
         idx_offset (int): Offset to add to the first dimension of the image ids.
 
     Returns:
-        torch.Tensor: Image position ids.
+        torch.Tensor: Image position ids with shape [batch_size, (latent_height//2 * latent_width//2), 3].
     """
 
     if device.type == "mps":
         orig_dtype = dtype
         dtype = torch.float16
 
-    img_ids = torch.zeros(h // 2, w // 2, 3, device=device, dtype=dtype)
-    img_ids[..., 0] = idx_offset  # Set the offset for the first dimension
-    img_ids[..., 1] = img_ids[..., 1] + torch.arange(h // 2, device=device, dtype=dtype)[:, None]
-    img_ids[..., 2] = img_ids[..., 2] + torch.arange(w // 2, device=device, dtype=dtype)[None, :]
+    # After packing, the spatial dimensions are halved due to the 2x2 patch structure
+    packed_height = latent_height // 2
+    packed_width = latent_width // 2
+    
+    # Create base tensor for position IDs with shape [packed_height, packed_width, 3]
+    # The 3 channels represent: [batch_offset, y_position, x_position]
+    img_ids = torch.zeros(packed_height, packed_width, 3, device=device, dtype=dtype)
+    
+    # Set the batch offset for all positions
+    img_ids[..., 0] = idx_offset
+    
+    # Create y-coordinate indices (vertical positions)
+    y_indices = torch.arange(packed_height, device=device, dtype=dtype)
+    # Broadcast y_indices to match the spatial dimensions [packed_height, 1]
+    img_ids[..., 1] = y_indices[:, None]
+    
+    # Create x-coordinate indices (horizontal positions)  
+    x_indices = torch.arange(packed_width, device=device, dtype=dtype)
+    # Broadcast x_indices to match the spatial dimensions [1, packed_width]
+    img_ids[..., 2] = x_indices[None, :]
+    
+    # Expand to include batch dimension: [batch_size, (packed_height * packed_width), 3]
     img_ids = repeat(img_ids, "h w c -> b (h w) c", b=batch_size)
 
     if device.type == "mps":
@@ -80,13 +98,17 @@ class KontextExtension:
 
         kontext_latents_unpacked = FluxVaeEncodeInvocation.vae_encode(vae_info=vae_info, image_tensor=image_tensor)
 
+        # Extract tensor dimensions with descriptive names
+        # Latent tensor shape: [batch_size, channels, latent_height, latent_width]
+        batch_size, _, latent_height, latent_width = kontext_latents_unpacked.shape
+
         # Pack the latents and generate IDs. The idx_offset distinguishes these
         # tokens from the main image's tokens, which have an index of 0.
         kontext_latents_packed = pack(kontext_latents_unpacked).to(self._device, self._dtype)
         kontext_ids = generate_img_ids_with_offset(
-            h=kontext_latents_unpacked.shape[2],
-            w=kontext_latents_unpacked.shape[3],
-            batch_size=kontext_latents_unpacked.shape[0],
+            latent_height=latent_height,
+            latent_width=latent_width,
+            batch_size=batch_size,
             device=self._device,
             dtype=self._dtype,
             idx_offset=1,  # Distinguishes reference tokens from main image tokens