Circadian rhythms influence many behaviors and diseases. They arise from oscillations in gene expression caused by repressor proteins that directly inhibit transcription of their own genes. The circadian clock in flies offers a valuable model for studying these processes, wherein Timeless (TIM) plays a critical role in mediating nuclear entry of the transcriptional repressor Period (PER) and the photoreceptor Cryptochrome (CRY) entrains the clock by triggering TIM degradation in light. The cryo-EM structure of the CRY:TIM complex reveals how a light-sensing cryptochrome recognizes its target. CRY engages a continuous core of N-terminal TIM armadillo (ARM) repeats, resembling how photolyases recognize damaged DNA, and binds a C-terminal TIM helix reminiscent of the interactions between light-insensitive CRYs and their partners in mammals. The structure highlights how the CRY flavin cofactor undergoes substantial conformational changes that couple to large-scale rearrangements at the molecular interface, and how a phosphorylated segment in TIM impacts clock period by regulating the binding of importin-α and the nuclear import of TIM and PER. Moreover, the structure reveals that the TIM N-terminus inserts into the restructured CRY pocket to replace the autoinhibitory C-terminal tail released by light, thereby explaining how the LS-TIM polymorphism adapts flies to different climates.