The main issue faced by all tax authorities in developing countries is securing sufficient revenues to finance various governmental expenditures. Taxpayers who comply voluntarily with the tax system are paramount contribution for state building. Hence, the main aim of this study was to examine determinants that affect taxpayers’ voluntary compliance level. The study used a cross-sectional survey design that employed a quantitative research approach with explanatory research type. In the current study dual-media surveys, paper based and online survey, were implemented. Category “A” and “B” taxpayers were the target population of the current study. Three Woredas of Fafen Zone were selected purposefully. However, the ultimate samples of the study were selected on random basis using stratified and simple random sampling techniques. Primary data obtained from 229 respondents were analyzed through descriptive and econometrics methods. Given the ordered nature of the dependent variable, the study employed an Ordinal Logistic Regression model. Stata Version 14 and the Statistical Package for Social Science (SPSS) Version 23 were used to manage and analyze the data. The result of this study revealed that tax knowledge and perception of fairness have a significant and positive effect on voluntary tax compliance. While, corruption, complexity of tax system and compliance costs have a significant and negative effect on voluntary tax compliance level. Thus, tax authorities before implementing any tax compliance strategies and policies, they should understand clearly factors that motivate and deter taxpayers’ voluntary tax compliance level. So, to achieve sustainable, efficient and cost effective high voluntary tax compliance level, tax authorities should concentrate on fighting corruption, building easy and less costly tax system, educating taxpayers about tax and improving the fairness of the tax system.