An efficient rhodium(III)-catalyzed self-annulation of N-vinylarylamide has been developed. This reaction features a simple system and good reactivity with complete regioselectivity. The protocol provides easy access to an aminal incorporated dihydroisoquinolinone, which proved to be a versatile synthetic synthon. The kinetic isotope effect experiments showed that C-H activation is the rate-limiting step, and competition studies revealed the annulation exhibits a strong self-recognition mode. In addition, a seven-membered rhodacycle species was isolated and established as the key reaction intermediate.