An optical compensation film includes an optical film and a retardation film. The optical film provides a plate retardation in the direction of thickness (Rth), while the retardation film is disposed on the optical film. The retardation film includes first retarders and second retarders, wherein the first retarders are disposed on at least partial areas of the optical film and provide a first planar retardation (Ro1); the second retarders are disposed on partial areas of the optical film but outside the first retarders and provide a second planar retardation (Ro2) and the first planar retardation (Ro1) is different from the second planar retardation (Ro2). The above-mentioned optical compensation film is capable of compensating the displays for different display areas in a liquid crystal display panel. In addition, the present invention also provides a fabricating method of optical compensation film.