Tima nigroannulata sp. nov. is described from medusae collected in shallow waters of four prefectures on the Pacific coast of Japan (Miyagi, Fukushima, Kanagawa, and Miyazaki), as well as from cultures maintained at two aquaria (Enoshima Aquarium, Kanagawa Prefecture; Tsuruoka City Kamo Aquarium, Yamagata Prefecture). Adult medusae differ from those of other known species of the genus Tima in the following combination of characters: (1) umbrella usually hemispherical or higher, (2) marginal tentacles up to 50 or more in number; and (3) black pigment granules form a ring around the umbrella rim, and sometimes extend onto the tentacles and radial canals. Their hydroids, from aquarium cultures, have stolonal colonies with pedicels of varied length, vestigial hydrothecae, slender and vase- to club-shaped hydranths, and a whorl of about 20 filiform tentacles with an intertentacular web basally. Medusa buds develop singly within gonothecae that arise from the hydrothecal pedicels. The cnidomes of both hydroid and medusa stages comprise heteronemes, provisionally identified as microbasic mastigophores. Medusae of T. nigroannulata are confirmed as a unique, cohesive lineage by comparing mtDNA COI sequence fragments with those from two congeners, resulting in three well-supported reciprocally monophyletic clades, one representing each species. Records of the western Atlantic medusa Tima formosa L. Agassiz, 1862 from Japan overlap those of T. nigroannulata, and are believed to have been based on the new species described herein.