Annulatascus species are common freshwater ascomycetes in the tropics. In this paper, the type species, Annulatascus velatisporus, and a new species, A. triseptatus, are described and illustrated at light and electron microscope levels. Annulatascus triseptatus differs from A. velatisporus in having three-septate ascospores surrounded by a thin sheath. The asci of both species have bilamellate ascus walls and a bipartite apical ring. The upper part of the apical ring differentiates from the inner ascus wall layer and the lower part elongates downwards during maturation. The mesosporium is the first formed ascospore wall layer followed by the episporium, which is covered with verruculose ornamentations. The mucilaginous sheath of the ascospores is fibrillar or amorphous depending on the fixation methods employed, and appears to be derived from the episporial verruculose ornamentations.