ABSTRACT This research examined tax revenue and fiscal sustainability in Ikot Ekpene Local Government Area, Akwa Ibom State. The objective of the study was to interrogate how tax revenue affect fiscal sustainability in Ikot Ekpene Local Government Area of Akwa Ibom State. The study was explained with the Fiscal Federation Theory. The survey research study was utilised to gather data for the study to this end, the researcher administered 400 copies of a structured questionnaire to the research participants, out of which 313 were successfully retrieved. The findings of this study revealed that tax revenue, as presently generated and administered in Ikot Ekpene LGA, does not significantly explain variations in fiscal sustainability Based on these findings, it was recommended amongst others that Local Government should modernise tax administration and broaden the tax base. Ikot Ekpene Local Government should develop an up-to-date database of taxable individuals, enterprises and economic activities within its jurisdiction. Tax assessment and collection should increasingly utilise digital technologies to reduce manual handling, revenue leakages and opportunities for diversion. Keywords: Fiscal; Levy; Revenue; Sustainability; Tax