The parish of Älgarås is first mentioned in written records in 1389, and local tradition also recalls a battle fought nearby in 1205 between King Sverker the Younger and the pretender Erik Knutsson, who was defeated and fled to Norway. The present timber church was built at the end of the 1400s, replacing an earlier, smaller wooden church on the same site, thought to have been a stave church; buried stone footings found nearby may mark its foundations.
The survival of a medieval wooden church here, rather than its replacement in stone as happened in many other parishes, is generally attributed to the strong timber-building tradition of this wooded part of northern Västergötland. The building is a red-painted, shingle-clad log structure with a rectangular nave and a smaller chancel. Over the centuries it gained a porch (1647), a redesigned three-sided chancel (1684), a sacristy (1705), a second porch (1707) and a west tower (1735), which replaced an earlier freestanding bell tower and coincided with the fitting of larger windows.
The church's most striking feature is its painted ceiling, covering the entire nave with three large biblical scenes: the Resurrection above the altar in the east, the Ascension in the centre, and the Last Judgement above the gallery in the west. The paintings are attributed to Anders Broddesson of Fredsberg, with sources giving the date as either 1750–52 or 1757.eyi The altarpiece of 1696 is the work of Master Enock of Fägre, and the pulpit, from the mid-1700s, was also painted by Broddesson.eyi Among the older furnishings, several items are dated to the 1200s: a small soapstone font, a medieval triumphal crucifix, and a carved oak Calvary group and a cabinet containing a seated Madonna figure, both said to date from around 1250 and repainted in the 1920s. A church bell, likely cast in the early 1200s and comparable to one at Saleby, carries a faint runic inscription.
The church's organ, acquired in 1967 from Smedmans Orgelbyggeri and set on the west gallery, has a modernist case designed by Tore Virke; an earlier organ from 1918 previously served the church.