diff --git a/MIGRATION_PLAN.md b/MIGRATION_PLAN.md
index ad33c37..162c6c6 100644
--- a/MIGRATION_PLAN.md
+++ b/MIGRATION_PLAN.md
@@ -334,39 +334,95 @@ Source of truth for the step-by-step rebuild. Keep this concise and up to date.
 - [x] Persistent folds (via UFO) -- no need, this is no longer required.
 - [x] Note: UFO handles folding; no explicit persistence mechanism needed
 
-## Phase 11 — Colorscheme Integration
+## Phase 11 — Colorscheme: Modern Paper Tonic
 
 ## Phase 11.1 — Confirm scope and priorities
 - [x] Confirm scope and priorities for this phase
-- [x] Decision: Port Paper Tonic colorscheme from `~/projects/nvim-paper-tonic`
-- [x] Decision: Install as local plugin via lazy.nvim (use `dir = '~/projects/nvim-paper-tonic'`)
-- [x] Decision: Test first, then extend with missing highlights as needed
-- [x] Custom TreeSitter captures to verify/define: `@CssClassName`, `@CssIdentifier`, `@DataAttribute`, `@DataAttributeValue`, `@cssPseudoClass`, `@cssNestingSelector`, etc.
+- [x] Decision: Create modern Paper Tonic fork from scratch
+- [x] Decision: Name = "paper-tonic-modern"
+- [x] Decision: Location = inside nvim config initially, move to repo later
+- [x] Decision: Structure = modular Lua colorscheme (colors.lua, groups/*.lua)
+- [x] Phased approach:
+  - Phase 11.2-11.4: Extract palette and base groups
+  - Phase 11.5-11.6: General TreeSitter highlights (modern @* groups)
+  - Phase 11.7: Semantic highlighting (custom CSS/HTML captures)
+  - Phase 11.8: Plugin support (LSP, Telescope, Gitsigns, etc.)
 
-## Phase 11.2 — Install Paper Tonic colorscheme
-- [x] Create `lua/plugins/colorscheme.lua` with Paper Tonic as local plugin
-- [x] Set `lazy = false` and `priority = 1000` to load first
-- [x] Apply colorscheme in config function
+## Phase 11.2 — Extract Paper Tonic color palette
+- [ ] Create `lua/paper-tonic-modern/colors.lua`
+- [ ] Extract all `c_*` color variables from Paper Tonic
+- [ ] Document what each color represents (foreground, background, accent colors)
+- [ ] Convert to modern format (keep hex, 256-color, ANSI mappings)
 
-## Phase 11.3 — Verify custom TreeSitter highlights
-- [ ] Open HTML/CSS files and verify custom captures have colors
-- [ ] Check if `@CssClassName` (HTML class attributes) matches CSS class selector colors
-- [ ] Check if `@CssIdentifier` (HTML id attributes) matches CSS id selector colors
-- [ ] Check if `@DataAttribute` and `@DataAttributeValue` are distinct
-- [ ] Check CSS-specific captures: `@cssPseudoClass`, `@cssNestingSelector`, `@CssUniversalSelector`, etc.
+## Phase 11.3 — Create colorscheme structure
+- [ ] Create directory structure:
+  - `colors/paper-tonic-modern.lua` (entry point)
+  - `lua/paper-tonic-modern/init.lua` (main logic)
+  - `lua/paper-tonic-modern/colors.lua` (palette)
+  - `lua/paper-tonic-modern/groups/` (highlight group definitions)
+- [ ] Create helper function for setting highlights
+- [ ] Set up colorscheme loading mechanism
 
-## Phase 11.4 — Verify plugin highlights
-- [ ] Telescope UI (borders, selection, prompts)
-- [ ] Gitsigns (add, change, delete signs in gutter)
-- [ ] nvim-cmp (completion menu, selected item, kind icons)
-- [ ] LSP diagnostics (ERROR, WARN, HINT, INFO signs and virtual text)
-- [ ] Oil.nvim (if distinctive colors needed)
+## Phase 11.4 — Base vim highlight groups
+- [ ] Create `lua/paper-tonic-modern/groups/editor.lua`
+- [ ] Map Paper Tonic colors to base groups: Normal, Comment, LineNr, CursorLine, etc.
+- [ ] Create `lua/paper-tonic-modern/groups/syntax.lua`
+- [ ] Map to syntax groups: Function, String, Keyword, Identifier, etc.
+- [ ] Test with simple Lua file to verify base colors work
 
-## Phase 11.5 — Add missing highlights (if needed)
-- [ ] Create `lua/colorscheme-overrides.lua` if custom highlights needed
-- [ ] Define highlights for custom TreeSitter captures not in colorscheme
-- [ ] Define highlights for plugins not covered by colorscheme
-- [ ] Load overrides after colorscheme applies (use autocmd or lazy.nvim config)
+## Phase 11.5 — Modern TreeSitter highlight groups
+- [ ] Create `lua/paper-tonic-modern/groups/treesitter.lua`
+- [ ] Map modern `@*` groups to Paper Tonic colors:
+  - Core: @variable, @function, @keyword, @string, @number, @boolean, @comment
+  - Types: @type, @property, @field, @parameter
+  - Operators: @operator, @punctuation.delimiter, @punctuation.bracket
+  - Language constructs: @keyword.function, @keyword.return, @keyword.conditional
+- [ ] Use `:help treesitter-highlight-groups` as reference
+- [ ] Test with multiple languages: Lua, PHP, JavaScript, HTML, CSS
+
+## Phase 11.6 — Language-specific TreeSitter groups
+- [ ] Add language-specific overrides (e.g., @variable.php, @tag.html)
+- [ ] Ensure HTML tags, CSS selectors, PHP variables have appropriate colors
+- [ ] Test across primary languages (HTML, PHP, JS, CSS, Markdown)
+
+## Phase 11.7 — Semantic highlighting (custom captures)
+- [ ] Create `lua/paper-tonic-modern/groups/semantic.lua`
+- [ ] Define your custom semantic captures:
+  - @CssClassName (for CSS .class and HTML class="" - same color)
+  - @CssIdentifier (for CSS #id and HTML id="" - same color)
+  - @DataAttribute, @DataAttributeValue (HTML data-* attributes)
+  - @cssPseudoClass, @cssNestingSelector, @CssUniversalSelector (CSS-specific)
+- [ ] Verify cross-language consistency: class names in HTML match CSS
+- [ ] Test with existing custom queries (after/queries/css/highlights.scm, after/queries/html/highlights.scm)
+
+## Phase 11.8 — Plugin highlight groups
+- [ ] Create `lua/paper-tonic-modern/groups/lsp.lua`
+- [ ] Define LSP diagnostics: DiagnosticError, DiagnosticWarn, DiagnosticHint, DiagnosticInfo
+- [ ] Define LSP UI: LspReferenceText, LspReferenceRead, LspReferenceWrite
+- [ ] Create `lua/paper-tonic-modern/groups/plugins.lua`
+- [ ] Add Telescope highlights (TelescopeNormal, TelescopeBorder, TelescopeSelection)
+- [ ] Add Gitsigns highlights (GitSignsAdd, GitSignsChange, GitSignsDelete)
+- [ ] Add nvim-cmp highlights (CmpItemKind*, CmpItemMenu, etc.)
+- [ ] Add Oil.nvim highlights if needed
+
+## Phase 11.9 — Update plugin configuration
+- [ ] Update `lua/plugins/colorscheme.lua` to use paper-tonic-modern
+- [ ] Remove old Paper Tonic reference
+- [ ] Remove colorscheme-overrides.lua (no longer needed)
+- [ ] Test full config reload
+
+## Phase 11.10 — Validation and polish
+- [ ] Test all primary languages (Lua, PHP, HTML, CSS, JS, Markdown)
+- [ ] Verify semantic consistency (CSS classes in HTML match CSS files)
+- [ ] Check plugin UI colors (Telescope, Gitsigns, nvim-cmp)
+- [ ] Verify LSP diagnostics are visible and distinct
+- [ ] Document color scheme in README
+
+## Phase 11.11 — Extract to separate repo (later)
+- [ ] Move to `~/projects/paper-tonic-modern/`
+- [ ] Update plugin config to point to new location
+- [ ] Add proper README, LICENSE, screenshots
+- [ ] Consider publishing to GitHub
 
 ## Phase 12 — Cleanup & Validation