A new species Gorgocephalus yaaji is described in the intestine of Kyphosus vaigiensis from the waters off Lizard Island, Queensland, Australia. It differs from Gorgocephalus kyphosi by its broader body shape, the extension of the vitellarium into the forebody, a relatively longer forebody, cirrus-sac and post-caecal region, and a shorter distance between the ventral sucker and the ovary. It differs from Gorgocephalus manteri in its size, its tandem testes, and the ratios of width, ventral sucker to ovary distance and ovary to testes distance to body-length. Gorgocephalus kyphosi is reported in the pyloric caeca of K. vaigiensis from waters off Moorea, French Polynesia, and Lizard Island, Queensland, Australia. Measurements and an illustration are given of the latter species.