In ancient times, this town had twelve different names, including Brahmapuram, Venupuram, Thonipuram, Kazhumalam, Pugali, Sirkazhiswaram and Shri Kali.

[2][3] As per popular belief, Kali is believed to have worshipped the presiding deity, Brahmapureeswarar, and thus the place came to be known as Srikalipuram, which went on to become Shiyali.

[9] Thirugnanasambandar, the seventh century Saiva nayanar, as an infant is believed to have been fed with the milk of wisdom by the divine mother Parvati on the banks of the temple tank.

[2] The temple is maintained by Dharmapuram Adheenam, a Saivite mutt or monastic institution located in the town of Mayiladuthurai, India.

[14] He is one of the most prominent of the sixty-three Nayanars, Tamil Saiva bhakti saints who lived between the sixth and the tenth centuries CE.

Sambandar's hymns to Shiva were later collected to form the first three volumes of the Tirumurai, the religious canon of Tamil Saiva Siddhanta.

His father saw drops of milk on the child's mouth and asked who had fed him, whereupon the boy pointed to the sky and responded with the song Todudaya Seviyan - the first verse of the Tevaram.

[citation needed] The temple priests perform the pooja (rituals) during festivals and on a daily basis.

Like other Shiva temples of Tamil Nadu, the priests belong to the Shaivaite community, a Brahmin sub-caste.

The temple rituals are performed six times a day; Ushathkalam at 5:30 a.m., Kalasanthi at 8:00 a.m., Uchikalam at 10:00 a.m., Sayarakshai at 6:00 p.m., Irandamkalam at 8:00 p.m. and Ardha Jamam at 10:00 p.m. Each ritual comprises four steps: abhisheka (sacred bath), alangaram (decoration), neivethanam (food offering) and deepa aradanai (waving of lamps) for all the three Shiva shrines.

The temple is mentioned in the Saiva canonical work, Tevaram, by Thirugnana Sambanthar, Tirunavukkarasar and Sundarar, the foremost Saivite saints of 7th–eighth century CE and is classified as Paadal Petra Sthalam.

The eight Bhairavas in the group include Asitanga, Visalaksa, Marrtanda, Modakapriya, Svachanda, Vignasantusa, Khechera and Sarcaracara.

After ruining his health, he tried to commit suicide by throwing himself from the northern tower of Annamalaiyar Temple, but was saved by the grace of god Murugan.