Izatha prasophyta is a moth of the Oecophoridae family. It is endemic to New Zealand, where it is known from the North Island, except Hawkes Bay or the Wairarapa. The wingspan is 16–22.5 mm for males and 19.5–26 mm for females. Adults are on wing from November to February. Larvae have been reared from an unidentified log on a beach, and another from a fruiting body of the bracket fungus Bjerkandera adusta growing on an unidentified rotting stump.