The invention discloses a traditional Chinese medicine based narcotic drug used for a tooth extraction operation and a preparation method thereof. The traditional Chinese medicine based narcotic drug comprises the raw medicines as follows: flos rhododendri, rubia cordifolia, flos daturae, pentapetes phoeniceam, glaucescent fissistigma root, carbo of typhae pollen, membrana follicularis ovi, cutch, alangium chinense harms, illicium verum, stellaria media, honeysuckle, herb of pedunculoside and radix angelicae. The traditional Chinese medicine based narcotic drug provided by the invention is prepared based on traditional Chinese theory of traditional Chinese medicine, has the advantages of being free of toxic and side effect, good in effects on relieving pain and stopping bleeding, fast to come into effect and low in cost, does not need injection when in use; when in use, dental tweezers are operated to clamp a cotton ball to drop or apply the liquid medicine into a periodontal pocket of a tooth to be extracted; when the periodontium has no pain, the tooth extraction operation can be carried out; therefore, the feared state of mind of a patient, especially a child and the patient fearful of giving an injection or the patient fainting on acupuncture, can be quelled.