The history of Kapila Theertham is deeply rooted in Hindu mythology. It is believed that Sage Kapila meditated here, hence the name. The temple is said to have been built several centuries ago, with renovations and additions made over time. The main Shiva lingam is believed to be self-manifested (swayambhu). The waterfall itself is considered sacred and is believed to have divine origins. The temple has been patronized by various dynasties and rulers, which has contributed to its rich history and cultural significance. Over the years, Kapila Theertham has become a prominent pilgrimage site, attracting devotees from all over India.