The main purpose of this study is focus on the assessment of socio economic benefits of tourismrnfor the local community in Bahir Dar city by employing descriptive and independent sample ttest. The data collected from 125 tourism business participants of Bahir Dar city by usingrnPrimary data through five Point Likert-Scale questionnaires. The study was used stratified asrnwell as simple random sampling techniques in selecting the samples for analyze the data of thernstudy. Statistical package for social science studies (SPSS) version 21 was used to analyze datarncollected through the close ended questionnaire. The analysis of the descriptive statistic wasrndone using the score value of mean and standard deviation for the dependent and independentrnvariables. The descriptive statistics result revealed that the mean value of social, cultural andrneconomic benefits were fair or reasonable which indicated that tourism business participants inrngeneral less benefited from tourism business activities. Moreover, the findings of thernindependent samples t-test revealed that between genders, there is no significance differencernbetween male and female in terms of their knowledge and perception on the social, cultural andrneconomic benefits of tourism. On Age and education level difference, there is also not arnsignificance difference among respondents in terms of their knowledge and perception on socialrnbenefits of tourism. But based on their age and educational level difference, there is arnsignificance difference among respondents in terms of their knowledge and perception onrncultural and economic benefits of tourism. In general, it is better that the government and otherrnstakeholders should encourage tourism sector for the social, cultural and economic benefits ofrnthe local community.