The New World labrisomid genus Paraclinus comprises small, cryptic reef fishes and is represented by three endemic species on the coast of Brazil. Paraclinus rubicundus (Starks) occurs from Alagoas south to Santa Catarina and is removed from the synonymy of its Caribbean counterpart Paraclinus nigripinnis (Steindachner), from which it is separated by its lower numbers of dorsal fin spines, lateral line scales, and rows of scales on the pectoral fin base. The two remaining species were also historically misidentified as Caribbean forms. Paraclinus arcanus n. sp., known from Pernambuco south to Rio de Janeiro, is distinguished from the Caribbean Paraclinus fasciatus (Steindachner), by its higher numbers of dorsal fin spines, nuchal cirrus morphology and the presence of a scaleless area along the anterior portion of the dorsal fin base. Paraclinus spectator n. sp., known from Rio de Janeiro south to Santa Catarina, is distinguished from other large Paraclinus with an elongate first dorsal spine and three segmented pelvic fin rays by the combined presence of a flattened, triangular opercular spine and a soft ray as the last dorsal fin element.