The ancient village was once an important religious centre and the site of a monastery. The earliest part of Muthill Church is the bell tower which dates to around 1140. This was originally a free standing structure. The foundations may be as old as 9thC. Muthill has an excellent folk museum housed in an 1760 Georgian cottage nearby.

Drummond Castle and it's wonderfully laid out formal gardens, 2 kms North of Muthill, was founded in 1491 by Sir John Drummond.

The village was burned, as were others in Strathearn, by Jacobite Highlanders retreating after the Battle of Sheriffmuir in 1716. The village was rebuilt in the 1740s because it lay on the route of General Wade's new military road to the north through Strathearn.