The paper examines the tax compliance cost of individual tax payers in Addis Ababa. OnernResearch question and one hypothesis were investigated in this study;(RO) compliance costs ofrnThe individual income tax system borne directly by the taxpayers themselves, including both thernTime spent and pecuniary expenditures and (H)The compliance costs individual in come taxrnare relatively low - in terms of their costs per individual: especially costs time and monetary,rncosts. The survey was conducted to a total of 170 individual income tax payers andrnrnQuestionnaires were distributed to those individuals tax payers in the administrative city of AddisrnAbaba in, Ethiopia. A total of 103 useable responses were received and used for the final datarnAnalysis. The finding from the survey provide pertinent and useful insights’ about the compliance rn rnCost of Addis Ababa individual taxpayers. The result of study indicate that the highest timernSpend was on learning tax rules. The average values per tax payers were 168.83 E7B and thernAverage times spent by tax payers .for filing their tax return were 5.1 7 hrs. In all, the study foundrnThat the compliance cost of individual taxpayers in Addis Ababa were relatively low in term ofrnthe total monetary value..