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The word Sanskrit means completed, refined, perfected. Sam (together) + krtam (created). Virtually every Sanskrit student in India learns the traditional story that Sanskrit was created and then refined over many generations (traditionally more than a thousand years) until it was considered complete and perfect. Sanskrit is considered a more refined linguistic strain of the Prakrit (Prototype. Pra (prime, first, pre-) + krt (created)) languages of India which include the lower vernaculars such as Pali and Ardhamagadhi.

The language underwent several stages of consolidation and modification.

In its older Vedic form, it is a close descendant of Proto-Indo-European, the root of all later Indo-European languages. Vedic Sanskrit is also practically identical to Avestan, the language of Zoroastrianism. After the consolidation of its grammar and lexicon it turned into a classical language of strict esthetic rules and gave rise to considerable literature of drama, medicine, politics, astronomy, mathematics, alchemy, etc.

Its common origin with modern European and the classical languages of Greek and Latin can be seen, for instance, in the Sanskrit words for mother, matr, and father, pitr. European scholarship in Sanskrit, initiated by Heinrich Roth and Johann Ernest Hanxleden, led to the discovery of this language family by Sir William Jones, and thus played an important role in the development of linguistics. Indeed, linguistics (along with phonology, etc.) was first developed by Indian grammarians who were attempting to catalog and codify Sanskrit’s rules. Modern linguistics, which arose much later in the rest of the world, owes a great deal to the grammarians, including key terms for compound analysis.

Sanskrit is the oldest member of Indo-Aryan sub-branch of Indo-Iranian. Vedic Sanskrit and Avestan are the oldest members of the Indo-Iranian sub-branch of the Indo-European family. Nuristani languages, spoken in roughly what has become Afghanistan, are grouped with Vedic and Avestan.

The oldest form of Sanskrit is Vedic, in which the Vedas, the earliest Sanskrit texts, were composed. The earliest of the Vedas, the R gveda, was composed in the middle of the second millennium BC. The Vedic form survived until the middle of the first millennium BC. Around this time, as Sanskrit made the transition from a first language to a second language of religion and learning, the Classical period began. The intense study of the structure of Sanskrit at this time led to the beginnings of linguistics.