Originally this was called Fenchar, a place near Naravi. Until 1912, Shirthady was part of Hospet parish. Rev, Fr Corti sj., of Naravi built a chapel at Fenchar in 1892 and dedicated it to Our Lady of the Most Holy Rosary. In 1917, Fr Corti was given charge of Fenchar parish which he served from Naravi. Fr Albert D’Sa (1922-1931) was appointed as its first parish priest on May 14, 1922. Fenchar was not central enough for the people and Fr D’Sa recommended Shirtady, then a part of Taccode parish, as suitable for the church. On April 3, 1926 Shirthady was attached to Fenchar parish and thus on December 8, 1928 Bishop Valarian J. D’Souza erected the Shirtady parish. Later, Fenchar chapel was dismantled. Fr D’Sa built the presbytery in 1928 and the church was completed in May 1931.

On April 17, 1932 the church was blessed and dedicated to Our Lady of Mount Carmel.

Fr Anthony Lobo (1990-1998) constructed new belfry and the church which were blessed on May 26, 1997 by Bishop Aloysius P. D’Souza. Fr Leo Lobo built the presbytery, which was inaugurated on February 18, 2001.

Fr Albert D’Sa started a school on September 1, 1931. Fr F.X. D’Souza had it recognized on May 13, 1937. Fr R. Fernandes, had it upgraded to Higher Elementary Level and a new elementary school was started at Anegudde at a distance of 7 kms from the church in 1953.