The Oncocytic variant of Mucoepidermoid carcinoma (MEC) is rarely reported in world literature. Only fourteen well documented cases of oncocytic MEC have been reported previously, all of which occurred in the parotid gland. Association of both oncocytic and clear cell variant has not been reported till date. We report a case of a 60 year old female who presented with non-healing ulcerative growth on palate. Preoperative FNAC showed oncocytic cells in sheets over haemorrhagic background. So a diagnosis of oncocytoma of salivary gland was given. Histologically, sheets and nests of oncocytic cells along with features of MEC were seen. The tumor also revealed clear cell morphology in >10% of tumor tissue but it was not a dominant feature. So, a final diagnosis of oncocytic variant of MEC (low grade) of palate with extensive clear cell component was given. Though for MEC most frequent intra-oral sites are the palate and buccal mucosa, but oncocytic variant of MEC is not reported in palate till now. Also most salivary gland lesions with oncocytic change are benign, it is important to distinguish Oncocytic MEC from other entities that may show prominent oncocytic change.