A new species, Stephanoprora aylacostoma is described and its life cycle was resolved experimentally. The prosobranch snail Aylacostoma chloroticum Hylton Scott, collected in the Yacyretá dam, Province of Misiones, Argentina, was found naturally infected with large-tailed cercariae possessing a prepharyngeal body and corpuscles in the excretory system but lacking collar spines. Metacercariae, which encysted on the gills of experimentally infected fishes Cnesterodon decemmaculatus (Jenyns) and Poecilia reticulata (Peters) (Poecilidae), developed collar spines after 10 days. Tetragonopterid fishes Moenckhausia dichroura (Kner), Astyanax erythropterus (Holmberg) and Hyphesobrycon serpae (Durbin in Eigenmann) were found infected naturally. Sexually mature adults were recovered from domestic chicks at day 7 post-exposure. Eggs shed in chick faeces developed to miracidia within 13-15 days; sporocysts were found on the gills of snails. The new species differs from other species of the genus in its larger eggs, in the smaller, slender body and smaller collar spines of the adult and in the morphological and biological features of the larval stages.