Then on 1 January 1984, the unpopulated northern side of the Makalaus mountain was transferred from Sør-Aurdal to Nord-Aurdal.
The municipality (originally the parish) is named after the Aurdalen valley (Old Norse: Aurardalr) since it was a central geographic feature of the area.
The official blazon is "Azure, a box reliquary Or" (Norwegian: I blått et gull relikvieskrin).
The charge has a tincture of Or which means it is commonly colored yellow, but if it is made out of metal, then gold is used.
It also has two dragon heads in the design since Sør-Aurdal is one of only two municipalities in Norway that have two stave churches that are still in use.
The color blue was chosen to represent the two river systems in the municipality that were historically important for the logging industry and sawmills in Sør-Aurdal.
Sør-Aurdal is part of the traditional district of Valdres in central, southern Norway, situated between the Gudbrandsdal and Hallingdal valleys.
An old legend says the valley was abandoned during the Black Death and the church later discovered by a bear hunter.
A hide is hanging in the church, although now there is only a small part left as visitors have cut away pieces over the years.
The municipal council (Kommunestyre) of Sør-Aurdal is made up of 19 representatives that are elected to four year terms.