diff --git a/chrome/content/zotero/xpcom/retractions.js b/chrome/content/zotero/xpcom/retractions.js
index 550df0733b..23785bfe12 100644
--- a/chrome/content/zotero/xpcom/retractions.js
+++ b/chrome/content/zotero/xpcom/retractions.js
@@ -498,10 +498,11 @@ Zotero.Retractions = {
 			// TODO: Diff list and remove existing retractions that are missing
 			
 			let possibleMatches = await this._downloadPossibleMatches([...prefixesToSend]);
-			await this._addPossibleMatches(possibleMatches);
+			await this._addPossibleMatches(possibleMatches, true);
 		}
 		else {
 			Zotero.debug("No possible retractions");
+			await this._addPossibleMatches([], true);
 		}
 		
 		await this._saveCacheFile(list, etag, doiPrefixLength, pmidPrefixLength);
@@ -530,12 +531,16 @@ Zotero.Retractions = {
 	},
 	
 	/**
-	 * @param {Object[]} - Results from API search
+	 * @param {Object[]} possibleMatches - Results from API search
+	 * @param {Boolean} [removeExisting = false] - Remove retracted flag from all items that don't
+	 *     match the results. This should only be true if possibleMatches includes all possible
+	 *     matches in the database.
 	 * @return {Number[]} - Array of added item ids
 	 */
-	_addPossibleMatches: async function (possibleMatches) {
+	_addPossibleMatches: async function (possibleMatches, removeExisting) {
 		// Look in the key mappings for local items that match and add them as retractions
 		var addedItemIDs = new Set();
+		var allItemIDs = new Set();
 		for (let row of possibleMatches) {
 			if (row.doi) {
 				let ids = this._keyItems[this.TYPE_DOI].get(row.doi);
@@ -544,6 +549,7 @@ Zotero.Retractions = {
 						if (!this._retractedItems.has(id)) {
 							addedItemIDs.add(id);
 						}
+						allItemIDs.add(id);
 						await this._addEntry(id, row);
 					}
 				}
@@ -555,14 +561,31 @@ Zotero.Retractions = {
 						if (!this._retractedItems.has(id)) {
 							addedItemIDs.add(id);
 						}
+						allItemIDs.add(id);
 						await this._addEntry(id, row);
 					}
 				}
 			}
 		}
 		
-		Zotero.debug(`Found ${addedItemIDs.size} retracted `
-			+ Zotero.Utilities.pluralize(addedItemIDs.size, 'item'));
+		// Remove existing retracted items that no longer match
+		var removed = 0;
+		if (removeExisting) {
+			for (let itemID of this._retractedItems) {
+				if (!allItemIDs.has(itemID)) {
+					let item = await Zotero.Items.getAsync(itemID);
+					await this._removeEntry(itemID, item.libraryID);
+					removed++;
+				}
+			}
+		}
+		
+		var msg = `Found ${addedItemIDs.size} retracted `
+			+ Zotero.Utilities.pluralize(addedItemIDs.size, 'item');
+		if (removed) {
+			msg += " and removed " + removed;
+		}
+		Zotero.debug(msg);
 		addedItemIDs = [...addedItemIDs];
 		if (addedItemIDs.length) {
 			this._showAlert(addedItemIDs); // async
diff --git a/test/tests/retractionsTest.js b/test/tests/retractionsTest.js
index 5dd3b0a2ee..2ac1994ab1 100644
--- a/test/tests/retractionsTest.js
+++ b/test/tests/retractionsTest.js
@@ -74,6 +74,106 @@ describe("Retractions", function() {
 	}
 	
 	
+	describe("#updateFromServer()", function () {
+		var server;
+		var baseURL;
+		
+		before(function () {
+			Zotero.HTTP.mock = sinon.FakeXMLHttpRequest;
+			baseURL = ZOTERO_CONFIG.API_URL + 'retractions/';
+		});
+		
+		beforeEach(function () {
+			server = sinon.fakeServer.create();
+			server.autoRespond = true;
+		});
+		
+		after(async function () {
+			Zotero.HTTP.mock = null;
+			// Restore the real list from the server. We could just mock it as part of the suite.
+			await Zotero.Retractions.updateFromServer();
+		});
+		
+		/*it("shouldn't show banner or virtual collection for already flagged items on list update", async function () {
+			await Zotero.Retractions.updateFromServer();
+		});*/
+		
+		it("should remove retraction flag from items that no longer match prefix list", async function () {
+			var doi = '10.1234/abcde';
+			var hash = Zotero.Utilities.Internal.sha1(doi);
+			var prefix = hash.substr(0, 5);
+			var lines = [
+				Zotero.Retractions.TYPE_DOI + prefix + ' 12345\n',
+				Zotero.Retractions.TYPE_DOI + 'aaaaa 23456\n'
+			];
+			
+			var listCount = 0;
+			var searchCount = 0;
+			server.respond(function (req) {
+				if (req.method == 'GET' && req.url == baseURL + 'list') {
+					listCount++;
+					if (listCount == 1) {
+						req.respond(
+							200,
+							{
+								'Content-Type': 'text/plain',
+								'ETag': 'abcdefg'
+							},
+							lines.join('')
+						);
+					}
+					else if (listCount == 2) {
+						req.respond(
+							200,
+							{
+								'Content-Type': 'text/plain',
+								'ETag': 'bcdefgh'
+							},
+							lines[1]
+						);
+					}
+				}
+				else if (req.method == 'POST' && req.url == baseURL + 'search') {
+					searchCount++;
+					if (searchCount == 1) {
+						req.respond(
+							200,
+							{
+								'Content-Type': 'application/json'
+							},
+							JSON.stringify([
+								{
+									doi: hash,
+									retractionDOI: '10.1234/bcdef',
+									date: '2019-01-02'
+								}
+							])
+						);
+					}
+				}
+			});
+			
+			await Zotero.Retractions.updateFromServer();
+			
+			// Create item with DOI from list
+			var promise = waitForItemEvent('refresh');
+			var item = createUnsavedDataObject('item', { itemType: 'journalArticle' });
+			item.setField('DOI', doi);
+			await item.saveTx();
+			await promise;
+			
+			assert.isTrue(Zotero.Retractions.isRetracted(item));
+			
+			// Make a second request, with the entry removed
+			promise = waitForItemEvent('refresh');
+			await Zotero.Retractions.updateFromServer();
+			await promise;
+			
+			assert.isFalse(Zotero.Retractions.isRetracted(item));
+		});
+	});
+	
+	
 	describe("#getRetractionsFromJSON()", function () {
 		it("should identify object with retracted DOI", async function () {
 			var spy = sinon.spy(Zotero.HTTP, 'request');