Five species of Inocybe are documented from Australia, four from southern temperate regions and one from the northern tropics. Inocybe emergens, previously known only from the type collection in South Australia, is reported for the first time from south-west Western Australia.Inocybe fulvilubrica Matheny, Bougher & G.Gates and I. redolens Matheny, Bougher & G.Gates are both described from Western Australia and Tasmania. Inocybe fulvilubrica has nodulose spores, a yellowish brown pileus that may be viscid or greasy and bears patches of white velar material, and a white pruinose stipe with a marginate bulb. Inocybe redolens is distinguished by the combination of nodulose spores, a squamulose disc, lack of caulocystidia, and an odour of Pelargonium. Inocybe sinuospora Matheny & Bougher known only from southwest Western Australia, has distinctive oblong- angular spores with a sinuous outline. Inocybe torresiae Matheny, Bougher & M.D.Barrett is a tropical species with nodulose spores described from forests in northern Western Australia and Queensland. It is distinguished by its truncate or sessile hymenial cystidia, presence of caulocystidia, and sweet or citrine odour.