An image capturing apparatus and an image correction method thereof are provided. The image capturing apparatus comprises an image capturing module, a sensing module, a storage module, and a processing module. The image capturing module captures an image. The sensing module senses an included angle between the image capturing apparatus and a horizontal plane. The storage module stores a rotation compensation data table containing a plurality of offset angles and a plurality of rotation compensation values for pixels corresponding to each offset angle. According to a difference value between the angle and a preset angle, the processing module finds out the appropriate rotation compensation values in the rotation compensation data table for rotating and correcting the image. A calibrated image is then generated, and the calibrated image matches the image captured by the image capturing device at the preset angle.