During a survey of marine interstitial Platyhelminthes of North Stradbroke Island, Queensland, Australia, a new taxon of Typhloplanidae (Rhabdocoela) was found, namely Cephalopharynx cannoni gen. nov. sp. nov. This new monotypic genus combines a suite of characters that set it apart from the remaining 63 genera present in the known eight subfamilies. It is unique in the lack of adenal and dermal rhabdites, the anterior position of the pharynx rosulatus, presence of a single anterior testis, and novel stylet structure. These character states substantiate the erection of a new subfamily, Cephalopharynginae, based on cladistic criteria. A key to the subfamilies of Typhloplanidae is provided.