Background Examining soft tissue tumors and tumor-like lesions is an everyday use for the minimally invasive diagnostic method known as Fine Needle Aspiration Cytology (FNAC). The purpose of this research was to evaluate FNAC's value in the diagnosis of these lesions in Bihar, India. Methods Patients with soft tissue tumors and tumor-like lesions who presented to a tertiary care hospital in Bihar over a set period were included in a retrospective review of FNAC records. FNAC samples were analyzed by board-certified cytopathologists, and pertinent clinical and pathological data were obtained. Histopathological findings, surgical results, and follow-up information were all associated. Results A total of 200 patients were included in the study. In most cases, FNAC yielded useful diagnostic information with high sensitivity and specificity for determining the nature of soft tissue lesions. This method helped doctors distinguish between benign and malignant tumors, locate specific tumor kinds, grade them, and develop effective treatment plans. In Bihar, lipomas, fibromas, and synovial sarcomas were the most frequent soft tissue tumors. Conclusion FNAC has emerged as a helpful first step in Bihar when diagnosing and staging soft tissue tumors and tumor-like lesions. It could distinguish between benign and malignant tumors with a high degree of accuracy, which aided in making informed treatment decisions. FNAC can play a crucial role in settings with limited resources by preventing unneeded operations and allowing for more targeted therapies. Recommendations Improvements in patient care can be achieved through better diagnosis and more targeted treatment by incorporating FNAC into clinical practice.