The present invention provides a manufacturing method of transparent electrode and mask thereof. The method includes: forming a film on a glass substrate, and coating photo-resist on film; irradiating photo-resist through mask, wherein the mask at corresponding active area of liquid crystal panel forming, from outer area to inner area, at least a first area and a second area, gap of pattern corresponding to transparent electrode in first area being first gap, gap of pattern in second area being second gap, first gap being greater than corresponding default gap, difference between first gap and corresponding default gap being greater than difference between second gap and corresponding default gap: and performing photolithography and etching processes on substrate after exposure to form transparent electrodes on substrate. As such, the present invention can reduce gap errors of formed transparent electrodes in entire active area to improve display effect.