The city owes its name to the river Große Vils which runs through Vilsbiburg.

[3] In records dating back to 1308, Vilsbiburg is mentioned as a market and also as a town, having a court and municipal powers.

In 1760 the administrative office of the Pfleger of Geisenhausen, which was ancillary to the Rentamt of Landshut, was transferred to Vilsbiburg.

As a consequence of administrative reform of Bavaria in the Gemeindeedikt von 1818 Vilsbiburg was officially recognized as a municipality.

The former municipalities of Frauensattling, Gaindorf, Haarbach, Seyboldsdorf and Wolferding became part of the town of Vilsbiburg in 1978.