The terrestrial larva of the austral horsefly, Parosca latipalpis (Macquart), identified by molecular techniques, is described. The larva of P. latipalpis resembles Scaptia auriflua (Donovan), Copidapha vicina (Taylor), Myioscaptia muscula (English), and Osca lata (Gu,rin-Meneville) in many morphological characters, as well as in their terrestrial habitats. Some characters that are shared between these species are unique among Tabanidae and provide evidence of their monophyletic origin, suggesting a typical Gondwanaland group. Larvae of P. latipalpis were found 2-3 cm below of the soil surface and associated with larvae of Coleoptera, Lepidoptera, and Diptera in southern Chile.