The 29-year-old looked destined to leave the club last summer but opted to reject a move to Queens Park Rangers in August.
Dawson has since re-established himself as a regular starter in the side, and is grateful to Villas-Boas for allowing him an opportunity to prove himself.
"I wasn't involved in the first game of the season, but the manager saw that I was working hard and he gave me a chance," Dawson told Sky Sports News. "It's been an interesting season, to say the least.
"In the summer I was out of the team, but I stayed because I believed I could get back into the team and I could help the team achieve things. Now I am playing I am loving every minute of it. Had I wanted to, I could have gone but I never, ever gave it a thought.
"I love playing at the club. I'm captain of the team and it's a great feeling leading those boys out and, if I can help the boys to achieve things, it would be great."
Spurs face Basel in the Europa League on Thursday night.