Identification keys are provided for the Australian species of Iphiaulax Foerster and Chaoilta Cameron. Iphiaulax brunneipennis n.sp. from Victoria, Iphiaulax latistigma n.sp. from Queensland and the Solomons, Iphiaulax danielsi n.sp. from New South Wales, and Chaoilta hollowayi n.sp. from New South Wales, Queensland and Western Australia are described and illustrated. Iphiaulax australiensis Ashmead, I. dubitorius (Fabricius), I. innotatus (Turner), I. proficiscator (Fabricius), I. rufus Szépligeti, C. decorata (Szépligeti), C. insularis (Cameron), C. lutea Cameron and C. nigriceps (Cameron) are redescribed and illustrated. Blastomorpha Szépligeti, previously synonymised with Chaoilta, is raised in status to that of a subgenus of Chaoilta. Ichneumon hospitator Fabricius is treated as a junior synonym of Iphiaulax proficiscator (Fabricius) and Iphiaulax turneri Baltazar is treated as a junior synonym of Ichneumon dubitorius Fabricius. Two species are removed from Iphiaulax : rubricepsis Shenefelt to the Doryctinae and trinotata Ashmead to Bracon Fabricius. Distribution maps and flight period histograms are provided for the four commonest species of Iphiaulax viz. I. australiensis, I. dubitorius, I. proficiscator and I. rufus. Two species of Chaoilta are recorded from Australia for the first time, viz. C. insularis and C. lutea.