〔Abstract〕 Objective To analyze the effect of Tongqiao Huoxue decoction on children with allergic rhinitis and its influence on olfactory function. Methods A total of 95 children with allergic rhinitis diagnosed and treated in Dengfeng People's Hospital from July 2018 to December 2021 were selected and randomly divided into an observation group (48 cases) and a control group (47 cases). Children in the control group received conventional western medicine treatment, and children in the observation group received Tongqiao Huoxue decoction plus or minus treatment on the basis of the control group. The efficacy and influence on olfactory function of the two groups were compared. Results The total effective rate of the observation group was 97.9 %, higher than 80.9 % of the control group, the difference was statistically significant (P < 0.05). After treatment, the peak expiratory flow and the ratio of forced expiratory volume in the first second to forced vital capacity in the two groups were higher than that before treatment, and the peak expiratory flow and the ratio of forced expiratory volume in the first second to forced vital capacity in the observation group were higher than those in the control group, the differences were statistically significant (P < 0.05). The incidence of adverse reactions in the observation group was 6.3 %, lower than that in the control group (31.9 %), and the difference was statistically significant (P < 0.05). After treatment, the score of olfactory function in the two groups were lower than those before treatment, and the score of olfactory function in the observation group was lower than that in the control group, and the differences were statistically significant (P < 0.05). Conclusion Tongqiao Huoxue decoction in the treatment of allergic rhinitis in children can improve the therapeutic effect, improve the lung function, reduce the occurrence of adverse reactions, improve the olfactory function of children.