Abstract: The invention is directed toward a capsule for use in a single serve beverage brewing machine. The capsule forms a chamber with a film cover sealing the chamber for the brewing of a beverage. At the base of the capsule the external wall of the capsule protrudes into the body of the capsule chamber to form a diffuser. The base of the paper filter cup rests on the diffuser. The top rim of the paper filter cup is attached to the film cover. Between the walls of the paper filter cup and the external capsule wall is a vertical flow channel. During the brewing process water initially flows through the extractable ingredient in the paper filter, circulates upward within the vertical flow channel, back through the paper filter, and recirculates through the extractable ingredient.