In this study, the influence of the thickness of the channel layer on the electrical properties and stability of tungsten-doped indium oxide (IWO) thin-film transistors (TFTs) was investigated. Although oxide-semiconductor TFTs, particularly indium gallium zinc oxide, are promising, problems related to oxygen vacancies have led to their instability. In contrast, IWO has proven to be a compelling alternative because of its robust resistance to oxygen vacancies. IWO TFTs with varying channel thicknesses (10, 20, and 30 nm) were fabricated, and the device parameters, such as threshold voltage (Vth), subthreshold swing (SS), field-effect mobility (μFE), and on/off current ratio (Ion/Ioff), were analyzed. It was found that as the channel thickness increased, Vth exhibited a negative shift and SS increased, indicating an increase in carrier concentration. This phenomenon is attributed to the bulk trap density, in particular to oxygen vacancies. Negative bias stress tests confirmed the influence of the oxygen vacancies, with thicker channels showing more pronounced shifts. Low-frequency noise measurements were consistent with the carrier number fluctuation model, indicating that defects within the channel region contribute to the observed noise. The study concludes that identifying an optimal channel thickness during device manufacturing is crucial for improved TFT performance, with 20 nm devices characterized by high μFE and comparable trap density to 10 nm. This study provides valuable insight into the nuanced relationship between the channel thickness, trap density, and electrical performance of IWO TFTs.