A drywall tape dispensing tool for applying drywall tape and joint compound simultaneously to a drywall joint. The apparatus includes a tape dispensing mechanism fastened to a housing with a chamber for holding drywall joint compound. A tape is passed from the dispenser through the chamber where both sides of the tape are exposed to the compound. Excess compound is removed from the tape as it passes through a tape dispensing slot. An adjustable plate allows a user to selectively determine the amount of joint compound removed from the tape and the amount of pull necessary to bring the tape through the chamber.