We synthesize a new vanadium oxyfluoride VO2F (rhombohedral, R3,¯ c) through a simple one-step ball-milling route and demonstrate its promising lithium storage properties with a high theoretical capacity of 526 mAh g -1 . Similar to V2O5, VO2F transfers into active disordered rock-salt (Fm3,¯ m) phase after initial cycling against lithium anode, as confirmed by diffraction and spectroscopic experiments. The newly formed nanosized LixVO2F remains its crystal structure over further cycling between 4.1 and 1.3 V. A high capacity of 350 mAh g -1 at 2.5 V was observed at 25°C and 50 mA g -1 . Furthermore, superior performance was observed for VO2F in comparison with a commercial crystalline V2O5, in terms of discharge voltage, voltage hysteresis and reversible capacity.