diff --git a/python/plugins/processing/algs/qgis/ExtractByExpression.py b/python/plugins/processing/algs/qgis/ExtractByExpression.py
index c83b67c5abc..4ce4f175c26 100644
--- a/python/plugins/processing/algs/qgis/ExtractByExpression.py
+++ b/python/plugins/processing/algs/qgis/ExtractByExpression.py
@@ -27,7 +27,12 @@ __revision__ = '$Format:%H$'
 from qgis.core import (QgsExpression,
                        QgsFeatureRequest,
                        QgsApplication,
-                       QgsProcessingUtils)
+                       QgsProcessingUtils,
+                       QgsProcessingParameterFeatureSource,
+                       QgsProcessingParameterExpression,
+                       QgsProcessingParameterFeatureSink,
+                       QgsProcessingOutputVectorLayer,
+                       QgsProcessingParameterDefinition)
 
 from processing.core.GeoAlgorithmExecutionException import GeoAlgorithmExecutionException
 from processing.core.parameters import ParameterVector
@@ -41,6 +46,7 @@ class ExtractByExpression(QgisAlgorithm):
     INPUT = 'INPUT'
     EXPRESSION = 'EXPRESSION'
     OUTPUT = 'OUTPUT'
+    FAIL_OUTPUT = 'FAIL_OUTPUT'
 
     def icon(self):
         return QgsApplication.getThemeIcon("/providerQgis.svg")
@@ -56,11 +62,16 @@ class ExtractByExpression(QgisAlgorithm):
 
     def __init__(self):
         super().__init__()
-        self.addParameter(ParameterVector(self.INPUT,
-                                          self.tr('Input Layer')))
-        self.addParameter(ParameterExpression(self.EXPRESSION,
-                                              self.tr("Expression"), parent_layer=self.INPUT))
-        self.addOutput(OutputVector(self.OUTPUT, self.tr('Extracted (expression)')))
+        self.addParameter(QgsProcessingParameterFeatureSource(self.INPUT,
+                                                              self.tr('Input layer')))
+        self.addParameter(QgsProcessingParameterExpression(self.EXPRESSION,
+                                                           self.tr('Expression'), None, self.INPUT))
+
+        self.addParameter(QgsProcessingParameterFeatureSink(self.OUTPUT, self.tr('Matching features')))
+        self.addOutput(QgsProcessingOutputVectorLayer(self.OUTPUT, self.tr('Matching (expression)')))
+        self.addParameter(QgsProcessingParameterFeatureSink(self.FAIL_OUTPUT, self.tr('Non-matching'),
+                                                            QgsProcessingParameterDefinition.TypeVectorAny, None, True))
+        self.addOutput(QgsProcessingOutputVectorLayer(self.FAIL_OUTPUT, self.tr('Non-matching (expression)')))
 
     def name(self):
         return 'extractbyexpression'
@@ -69,18 +80,48 @@ class ExtractByExpression(QgisAlgorithm):
         return self.tr('Extract by expression')
 
     def processAlgorithm(self, parameters, context, feedback):
-        layer = QgsProcessingUtils.mapLayerFromString(self.getParameterValue(self.INPUT), context)
-        expression_string = self.getParameterValue(self.EXPRESSION)
-        writer = self.getOutputFromName(self.OUTPUT).getVectorWriter(layer.fields(), layer.wkbType(), layer.crs(),
-                                                                     context)
+        source = self.parameterAsSource(parameters, self.INPUT, context)
+        expression_string = self.parameterAsExpression(parameters, self.EXPRESSION, context)
+
+        (matching_sink, matching_sink_id) = self.parameterAsSink(parameters, self.OUTPUT, context,
+                                                                 source.fields(), source.wkbType(), source.sourceCrs())
+        (nonmatching_sink, non_matching_sink_id) = self.parameterAsSink(parameters, self.FAIL_OUTPUT, context,
+                                                                        source.fields(), source.wkbType(), source.sourceCrs())
 
         expression = QgsExpression(expression_string)
-        if not expression.hasParserError():
-            req = QgsFeatureRequest().setFilterExpression(expression_string)
-        else:
+        if expression.hasParserError():
             raise GeoAlgorithmExecutionException(expression.parserErrorString())
+        expression_context = self.createExpressionContext(parameters, context)
 
-        for f in layer.getFeatures(req):
-            writer.addFeature(f)
+        if not nonmatching_sink:
+            # not saving failing features - so only fetch good features
+            req = QgsFeatureRequest().setFilterExpression(expression_string)
+            req.setExpressionContext(expression_context)
 
-        del writer
+            for f in source.getFeatures(req):
+                if feedback.isCanceled():
+                    break
+                matching_sink.addFeature(f)
+        else:
+            # saving non-matching features, so we need EVERYTHING
+            expression_context.setFields(source.fields())
+            expression.prepare(expression_context)
+
+            total = 100.0 / source.featureCount()
+
+            for current, f in enumerate(source.getFeatures()):
+                if feedback.isCanceled():
+                    break
+
+                expression_context.setFeature(f)
+                if expression.evaluate(expression_context):
+                    matching_sink.addFeature(f)
+                else:
+                    nonmatching_sink.addFeature(f)
+
+                feedback.setProgress(int(current * total))
+
+        results = {self.OUTPUT: matching_sink_id}
+        if nonmatching_sink:
+            results[self.FAIL_OUTPUT] = non_matching_sink_id
+        return results
diff --git a/python/plugins/processing/algs/qgis/QGISAlgorithmProvider.py b/python/plugins/processing/algs/qgis/QGISAlgorithmProvider.py
index af89dfc7771..bcb04a165d6 100755
--- a/python/plugins/processing/algs/qgis/QGISAlgorithmProvider.py
+++ b/python/plugins/processing/algs/qgis/QGISAlgorithmProvider.py
@@ -48,7 +48,7 @@ from .QgisAlgorithm import QgisAlgorithm
 # from .RandomExtract import RandomExtract
 # from .RandomExtractWithinSubsets import RandomExtractWithinSubsets
 # from .ExtractByLocation import ExtractByLocation
-# from .ExtractByExpression import ExtractByExpression
+from .ExtractByExpression import ExtractByExpression
 # from .PointsInPolygon import PointsInPolygon
 # from .PointsInPolygonUnique import PointsInPolygonUnique
 # from .PointsInPolygonWeighted import PointsInPolygonWeighted
@@ -247,7 +247,7 @@ class QGISAlgorithmProvider(QgsProcessingProvider):
         #          Slope(), Ruggedness(), Hillshade(),
         #         Relief(), ZonalStatisticsQgis(),
         #         IdwInterpolation(), TinInterpolation(),
-        #         RemoveNullGeometry(), ExtractByExpression(),
+        #         RemoveNullGeometry(),
         #         ExtendLines(), ExtractSpecificNodes(),
         #         GeometryByExpression(), SnapGeometriesToLayer(),
         #         PoleOfInaccessibility(), CreateAttributeIndex(),
@@ -268,7 +268,8 @@ class QGISAlgorithmProvider(QgsProcessingProvider):
                 CheckValidity(),
                 Clip(),
                 DeleteColumn(),
-                ExtentFromLayer()
+                ExtentFromLayer(),
+                ExtractByExpression()
                 ]
 
         if hasPlotly:
diff --git a/python/plugins/processing/gui/wrappers.py b/python/plugins/processing/gui/wrappers.py
index 2edd5b5a4f2..cf7936aea10 100644
--- a/python/plugins/processing/gui/wrappers.py
+++ b/python/plugins/processing/gui/wrappers.py
@@ -38,6 +38,7 @@ from qgis.core import (
     QgsApplication,
     QgsCoordinateReferenceSystem,
     QgsExpression,
+    QgsExpressionContextGenerator,
     QgsFieldProxyModel,
     QgsMapLayerProxyModel,
     QgsWkbTypes,
@@ -1004,6 +1005,8 @@ class ExpressionWidgetWrapper(WidgetWrapper):
 
     def setLayer(self, layer):
         context = dataobjects.createContext()
+        if isinstance(layer, QgsProcessingFeatureSourceDefinition):
+            layer, ok = layer.source.valueAsString(context.expressionContext())
         if isinstance(layer, str):
             layer = QgsProcessingUtils.mapLayerFromString(layer, context)
         self.widget.setLayer(layer)
diff --git a/python/plugins/processing/tests/testdata/qgis_algorithm_tests.yaml b/python/plugins/processing/tests/testdata/qgis_algorithm_tests.yaml
index de5c066eea5..97917182c5d 100644
--- a/python/plugins/processing/tests/testdata/qgis_algorithm_tests.yaml
+++ b/python/plugins/processing/tests/testdata/qgis_algorithm_tests.yaml
@@ -1258,18 +1258,18 @@ tests:
 #        name: expected/remove_null_polys.gml
 #        type: vector
 #
-#  - algorithm: qgis:extractbyexpression
-#    name: Extract by Expression
-#    params:
-#      EXPRESSION: left( "Name",1)='A'
-#      INPUT:
-#        name: polys.gml
-#        type: vector
-#    results:
-#      OUTPUT:
-#        name: expected/extract_expression.gml
-#        type: vector
-#
+  - algorithm: qgis:extractbyexpression
+    name: Extract by Expression
+    params:
+      EXPRESSION: left( "Name",1)='A'
+      INPUT:
+        name: polys.gml
+        type: vector
+    results:
+      OUTPUT:
+        name: expected/extract_expression.gml
+        type: vector
+
 #  - algorithm: qgis:extendlines
 #    name: Extend lines
 #    params: