In this study, nonmiscible polyvinyl chloride (PVC) and polymethyl methacrylate (PMMA) polymers were made miscible by using MA‐St‐MMA terpolymer as a compatibilizer. Maleic anhydride‐styrene‐methyl methacrylate (MA‐St‐MMA) terpolymer was synthesized in our laboratory and used. The synthesized terpolymer was determined by FT‐IR spectroscopy. Equal mass PVC/PMMA mixture samples were prepared in series and the compatibilizer terpolymer varying between 2% and 10% by mass was added to the samples and the effect of the added terpolymer on the miscibility was determined viscometrically, thermally, mechanically and, visually. With the addition of the compatibilizer, the two components in the mixture behave like a single polymer with a single glass transition temperature (Tg) and the mixture became compatible. As a result of viscometric experiments, it has been determined that with the added MA‐St‐MMA terpolymer, the Δb value derivated from the Krigbaum‐Wall equation which is the miscibility parameter of a mixture shifted into the positive (+) zone indicating that the two polymers became miscible. By visual analysis, it was observed that the added terpolymer reduced the opaque appearance and the phase separations of the mixture. From the tensile test, a significant improvement in impact toughness was observed. When all the data obtained were evaluated, it was determined that the synthesized MA‐St‐MMA terpolymer was a suitable compatibilizer for the mixture of PVC and PMMA.