A remarkable species of the genus Notothylas Sull., N. vitalii Udar et Singh, has been described from Brasil. This constitutes the first comprehensive record of the genus from that country. The species is characterized by involucres that get buried into the soil towards maturity and show the presence of rhizoids on them; dehiscence of the capsules by transverse separation of the anterior part; presence of stratified thickenings in the epidermal cells and nodulose thickenings in the cells of the lining layer of the capsule wall; 51-62μm large, purplish yellow spores usually with stratified equatorial crassitudo and finely ornamented area contagionis on their proximal surfaces; and the absence of pseudoelaters.