The Pha Kan Formation that crops out at the Phra That Muang Kham section, south of Lampang city, was measured and sampled for ostracod analysis. We here report the occurrence of 29 species distributed among 14 genera. Four new species are described: Triassocypris phakanella Forel nov. sp., Leviella lampangensis Forel nov. sp., Bektasia yawella Forel nov. sp. and Hungarella poli Chitnarin nov. sp. The present data represent the first detailed report of Middle Triassic (Anisian) ostracods from the Sukhothai terrane and the first insight into diversity dynamics following the end-Permian extinction in this area. The ostracod assemblages of the Phra That Muang Kham section are discussed and document an important shift from siliciclastic to carbonate conditions, from a protected to an open marine environment, followed by a slight regressive trend up-section associated with repeated salinity fluctuations. This fauna illustrates the post-crisis recovery during the Middle Triassic and some hypothesis are issued on the distribution pathways of several taxa.