A new epiphyllous species of Cololejeunea (Spruce) Schiffn., C. epiphylla sp. nov. has been discovered from Karnataka, South India, which is illustrated and described here. The taxon belongs to the subgenus Pedinolejeunea and is mainly characterized by monoecious sexuality, ovate-oblong leaves without marginal hyaline cells, thin walled leaf-cells, smooth cuticle, ligulate leaf-lobule that are usually curved towards the axis along with the apical hyaline papilla and 2-3 celled stylus.