Background: Oral lichen planus (OLP) is a chronic, autoimmune mucocutaneous disease of oral cavity . The prevalence of oral lichen planus in general population varies from 1–2%. Clinically the oral lesions have been grouped into reticular, papular, plaque like, atrophic, erosive and bullous forms. OLP usually occurs in a bilaterally symmetrical pattern, commonly involving buccal mucosa, gingiva and dorsum of the tongue. The lesions are usually painless, though pain and burning sensation are associated with erosive and atrophic lesions. Methods : 80 patients with clinically and histologically proven oral lichen planus were enrolled in the study. Patients were randomly divided into Group A and Group B. 40 patients were included in each group. Group A was treated with triamcinolone acetonide 0.1% ointment. Group B was treated with tacroliomus 0.1% ointment. Follow up was done during treatment at 4 weeks, 8 weeks,12 weeks during which assessment of the lesion was done and all findings were recorded. Results: Patients on topical triamcinolone acetonide 0.1% showed 46.77% reduction in disease at 12 weeks of treatment. In group A, 12 patients showed complete response, 10 patients showed partial response and 14 patients showed no response. Patients on topical tacrolimus 0.1% showed a 62.53 % reduction in disease at 12 weeks of treatment. In group B, 19 patients had complete response, 11 patients had partial response and 10 patients had no response. Conclusion: Topical steroids are used as first choice treatment for oral lichen planus. Topical tacrolimus 0.1% ointment can be an effective alternative to topical steroids and may be considered as one of the first line therapies in management of oral lichen planus