diff --git a/packages/@aws-cdk/aws-s3-notifications/test/queue.test.ts b/packages/@aws-cdk/aws-s3-notifications/test/queue.test.ts
index 3c6f33c4ca7a0..482859513a219 100644
--- a/packages/@aws-cdk/aws-s3-notifications/test/queue.test.ts
+++ b/packages/@aws-cdk/aws-s3-notifications/test/queue.test.ts
@@ -140,12 +140,3 @@ test('if the queue is encrypted with a custom kms key, the key resource policy i
     Description: "Created by Queue"
   });
 });
-
-test('fails if trying to subscribe to a queue with managed kms encryption', () => {
-  const stack = new Stack();
-  const queue = new sqs.Queue(stack, 'Queue', { encryption: sqs.QueueEncryption.KMS_MANAGED });
-  const bucket = new s3.Bucket(stack, 'Bucket');
-  expect(() => {
-    bucket.addObjectRemovedNotification(new notif.SqsDestination(queue));
-  }).toThrow('Unable to add statement to IAM resource policy for KMS key: "alias/aws/sqs"');
-});
diff --git a/packages/@aws-cdk/aws-sqs/lib/queue.ts b/packages/@aws-cdk/aws-sqs/lib/queue.ts
index 9247c156ef188..c1718eb1eaa45 100644
--- a/packages/@aws-cdk/aws-sqs/lib/queue.ts
+++ b/packages/@aws-cdk/aws-sqs/lib/queue.ts
@@ -277,10 +277,7 @@ export class Queue extends QueueBase {
       }
 
       if (encryption === QueueEncryption.KMS_MANAGED) {
-        const masterKey = kms.Key.fromKeyArn(this, 'Key', 'alias/aws/sqs');
-
         return {
-          encryptionMasterKey: masterKey,
           encryptionProps: {
             kmsMasterKeyId: 'alias/aws/sqs',
             kmsDataKeyReusePeriodSeconds: props.dataKeyReuse && props.dataKeyReuse.toSeconds()
diff --git a/packages/@aws-cdk/aws-sqs/package.json b/packages/@aws-cdk/aws-sqs/package.json
index 8129917c57fe7..ef4e782986e82 100644
--- a/packages/@aws-cdk/aws-sqs/package.json
+++ b/packages/@aws-cdk/aws-sqs/package.json
@@ -62,6 +62,7 @@
   },
   "license": "Apache-2.0",
   "devDependencies": {
+    "@aws-cdk/aws-kms": "^1.3.0",
     "@aws-cdk/assert": "^1.3.0",
     "@aws-cdk/aws-s3": "^1.3.0",
     "aws-sdk": "^2.438.0",
@@ -93,4 +94,4 @@
     ]
   },
   "stability": "stable"
-}
\ No newline at end of file
+}
diff --git a/packages/@aws-cdk/aws-sqs/test/integ.sqs.expected.json b/packages/@aws-cdk/aws-sqs/test/integ.sqs.expected.json
index 8f53d9d476299..ae5da0f4d0525 100644
--- a/packages/@aws-cdk/aws-sqs/test/integ.sqs.expected.json
+++ b/packages/@aws-cdk/aws-sqs/test/integ.sqs.expected.json
@@ -6,6 +6,7 @@
     "Queue4A7E3555": {
       "Type": "AWS::SQS::Queue",
       "Properties": {
+        "KmsMasterKeyId": "alias/aws/sqs",
         "RedrivePolicy": {
           "deadLetterTargetArn": {
             "Fn::GetAtt": [
@@ -17,10 +18,184 @@
         }
       }
     },
+    "EncryptionKey1B843E66": {
+      "Type": "AWS::KMS::Key",
+      "Properties": {
+        "KeyPolicy": {
+          "Statement": [
+            {
+              "Action": [
+                "kms:Create*",
+                "kms:Describe*",
+                "kms:Enable*",
+                "kms:List*",
+                "kms:Put*",
+                "kms:Update*",
+                "kms:Revoke*",
+                "kms:Disable*",
+                "kms:Get*",
+                "kms:Delete*",
+                "kms:ScheduleKeyDeletion",
+                "kms:CancelKeyDeletion",
+                "kms:GenerateDataKey"
+              ],
+              "Effect": "Allow",
+              "Principal": {
+                "AWS": {
+                  "Fn::Join": [
+                    "",
+                    [
+                      "arn:",
+                      {
+                        "Ref": "AWS::Partition"
+                      },
+                      ":iam::",
+                      {
+                        "Ref": "AWS::AccountId"
+                      },
+                      ":root"
+                    ]
+                  ]
+                }
+              },
+              "Resource": "*"
+            },
+            {
+              "Action": "kms:Decrypt",
+              "Effect": "Allow",
+              "Principal": {
+                "AWS": {
+                  "Fn::GetAtt": [
+                    "Role1ABCC5F0",
+                    "Arn"
+                  ]
+                }
+              },
+              "Resource": "*"
+            }
+          ],
+          "Version": "2012-10-17"
+        }
+      },
+      "UpdateReplacePolicy": "Delete",
+      "DeletionPolicy": "Delete"
+    },
     "FifoQueueE5FF7273": {
       "Type": "AWS::SQS::Queue",
       "Properties": {
-        "FifoQueue": true
+        "FifoQueue": true,
+        "KmsMasterKeyId": {
+          "Fn::GetAtt": [
+            "EncryptionKey1B843E66",
+            "Arn"
+          ]
+        }
+      }
+    },
+    "Role1ABCC5F0": {
+      "Type": "AWS::IAM::Role",
+      "Properties": {
+        "AssumeRolePolicyDocument": {
+          "Statement": [
+            {
+              "Action": "sts:AssumeRole",
+              "Effect": "Allow",
+              "Principal": {
+                "AWS": {
+                  "Fn::Join": [
+                    "",
+                    [
+                      "arn:",
+                      {
+                        "Ref": "AWS::Partition"
+                      },
+                      ":iam::",
+                      {
+                        "Ref": "AWS::AccountId"
+                      },
+                      ":root"
+                    ]
+                  ]
+                }
+              }
+            }
+          ],
+          "Version": "2012-10-17"
+        }
+      }
+    },
+    "RoleDefaultPolicy5FFB7DAB": {
+      "Type": "AWS::IAM::Policy",
+      "Properties": {
+        "PolicyDocument": {
+          "Statement": [
+            {
+              "Action": [
+                "sqs:ReceiveMessage",
+                "sqs:ChangeMessageVisibility",
+                "sqs:GetQueueUrl",
+                "sqs:DeleteMessage",
+                "sqs:GetQueueAttributes"
+              ],
+              "Effect": "Allow",
+              "Resource": {
+                "Fn::GetAtt": [
+                  "DeadLetterQueue9F481546",
+                  "Arn"
+                ]
+              }
+            },
+            {
+              "Action": [
+                "sqs:ReceiveMessage",
+                "sqs:ChangeMessageVisibility",
+                "sqs:GetQueueUrl",
+                "sqs:DeleteMessage",
+                "sqs:GetQueueAttributes"
+              ],
+              "Effect": "Allow",
+              "Resource": {
+                "Fn::GetAtt": [
+                  "Queue4A7E3555",
+                  "Arn"
+                ]
+              }
+            },
+            {
+              "Action": [
+                "sqs:ReceiveMessage",
+                "sqs:ChangeMessageVisibility",
+                "sqs:GetQueueUrl",
+                "sqs:DeleteMessage",
+                "sqs:GetQueueAttributes"
+              ],
+              "Effect": "Allow",
+              "Resource": {
+                "Fn::GetAtt": [
+                  "FifoQueueE5FF7273",
+                  "Arn"
+                ]
+              }
+            },
+            {
+              "Action": "kms:Decrypt",
+              "Effect": "Allow",
+              "Resource": {
+                "Fn::GetAtt": [
+                  "EncryptionKey1B843E66",
+                  "Arn"
+                ]
+              }
+            }
+          ],
+          "Version": "2012-10-17"
+        },
+        "PolicyName": "RoleDefaultPolicy5FFB7DAB",
+        "Roles": [
+          {
+            "Ref": "Role1ABCC5F0"
+          }
+        ]
       }
     }
   },
diff --git a/packages/@aws-cdk/aws-sqs/test/integ.sqs.ts b/packages/@aws-cdk/aws-sqs/test/integ.sqs.ts
index c17b3f423dbea..5e0136e750ede 100644
--- a/packages/@aws-cdk/aws-sqs/test/integ.sqs.ts
+++ b/packages/@aws-cdk/aws-sqs/test/integ.sqs.ts
@@ -1,5 +1,7 @@
-import { App, CfnOutput, Stack } from '@aws-cdk/core';
-import { Queue } from '../lib';
+import { AccountRootPrincipal, Role } from '@aws-cdk/aws-iam';
+import { Key } from '@aws-cdk/aws-kms';
+import { App, CfnOutput, RemovalPolicy, Stack } from '@aws-cdk/core';
+import { Queue, QueueEncryption } from '../lib';
 
 const app = new App();
 
@@ -7,13 +9,22 @@ const stack = new Stack(app, 'aws-cdk-sqs');
 
 const dlq = new Queue(stack, 'DeadLetterQueue');
 const queue = new Queue(stack, 'Queue', {
-  deadLetterQueue: { queue: dlq, maxReceiveCount: 5 }
+  deadLetterQueue: { queue: dlq, maxReceiveCount: 5 },
+  encryption: QueueEncryption.KMS_MANAGED,
+});
+const fifo = new Queue(stack, 'FifoQueue', {
+  fifo: true,
+  encryptionMasterKey: new Key(stack, 'EncryptionKey', { removalPolicy: RemovalPolicy.DESTROY })
 });
 
-new Queue(stack, 'FifoQueue', {
-  fifo: true
+const role = new Role(stack, 'Role', {
+  assumedBy: new AccountRootPrincipal(),
 });
 
+dlq.grantConsumeMessages(role);
+queue.grantConsumeMessages(role);
+fifo.grantConsumeMessages(role);
+
 new CfnOutput(stack, 'QueueUrl', { value: queue.queueUrl });
 
 app.synth();