In Feudal Japan, in the "Warring States" era, a half-human half-dog demon, tried, and with no prevail, to obtain the Shikon No Tama (Jewel of Four Souls) A priestess, by the name of Kikyo ruined his attempt with the last of her strength, sending a sacred arrow through his heart, binding him to a tree known as the Go-Shinboku God-Tree.
Centuries later, in modern day Japan, a young girl named Kagome fell into the Bone Eater's Well after trying to find her cat. Strangely enough, the well turns out to be a time portal between feudal and modern day Japan. Climbing out of the well, she recognizes nothing but a few landmarks, particularly the God-Tree. She reaches the tree hoping to find her house nearby, only to find Inuyasha, bound to the tree in a deep sleep.
Soldiers from the nearby village find Kagome in "Inuyasha's Forest" suspecting her anywhere from being a spy to being a demon. They bring her to Lady Kaede, the aging priestess of the village. Kaede finds Kagome to be human, but also that she resembles her older sister Kikyo, who was killed fifty years before.
Soon after, a great demon attacked the village, wanting the jewel which was held deep within Kagome. Knowing the demon was after her, she bolted for the well, trying to lure the demon from the innocent village people. She called for help, not knowing what the giant demon could do. Inuyasha awakes, smelling the bitter-sweet scent of the one who sealed him fifty years ago.
She finds herself at the God-Tree once more, the white haired dog- demon awake, mocking her mistaking her for Kikyo. Defiantly, she makes sure it gets across to Inuyasha that she is not Kikyo, but that she is Kagome. The demon still coming, she is amazed at her ability to hold it off. Surprisingly, a soft glowing appears from her side, with one last atack from the demon, the Shikon No Tama is removed from her body.
Kaede looks upon the scene, seeing the Shikon jewel came from Kagome's body, that Inuyasha is miraculously awake, and soon after, to save everyone, that she was able to break the seal Kikyo had created over Inuyasha, freeing him. Without a doubt, Kaede realizes that Kagome is the reincarnation of her sister.
After the demon is slayed, Kaede tells Kagome to find the jewel quickly for only she can see it within the demons body. When Kagome finally gets ahold of it, Inuyasha turns on her, wanting the jewel to become a full demon. Kaede quickly puts a spell over a necklace of prayer beads, and they form around Inuyasha's neck, Kaede tells Kagome to finish the incantation by ending it with a commanding word of restraint. Seeing as Inuyasha is part dog demon, Kagome fittingly chooses 'sit' as the restraining word that could send him crashing face first into the ground upon speaking it.
Not wanting the jewel to fall into anybody else's hands, Inuyasha stays at the village to fight off anyone who dare try and take it. Soon a crow demon enters the village, after swallowing the jewel, it becomes powerful and begins to ransack the village, all the while Inuyasha chasing it and Kagome trying to master the bow. Inuyasha is able to slash the demon apart, but it regenerates itself. Using the crows foot to draw the arrow to the demon. The arrow hits more than it's mark, it also hits the Shikon jewel, shattering it into many tiny shards all across the country.
Kagome and Inuyasha join together to track down the jewel shards knowing that even a single shard could bring a great level of power to any demon. At first the two dont get along very well, but along their travels they acquire a friendship neither of them would ever admit or show, aswell as many allies.
