The chemical compositions of essential oils from the leaves of Epaltes australis and Lindera myrrha, and their biological potentials are first reported in this research. Essential oils obtained by hydro‐distillation were analyzed by GC‐MS. Non‐terpenic compounds (46.3%) achieved the highest amount in E. australis, and thymohydroquinone dimethyl ether was the major compound with the highest percentage of 44.2%. Sesquiterpene hydrocarbons (56.8%) prevailed in L. myrrha leaf oil, and the principal compounds were (E)‐caryophyllene (22.2%), ledene (9.7%), selina‐1,3,7(11)‐trien‐8‐one (9.6%), and α‐pinene (7.0%). Both essential oils exhibited antimicrobial activity against the bacteria Bacillus subtilis and Clostridium sporogenes, and Escherichia coli, and the fungus Aspergillus brasiliensis. L. myrrha leaf essential oil strongly controlled the yeast Saccharomyces cerevisiae with a MIC of 32 µg/mL. L. myrrha leaf oil (IC50 15.20 µg/mL) also showed strong anti‐inflammatory activity against NO production in LPS‐stimulated RAW2647 murine macrophage cells. In anti‐tyrosinase activity, E. australis leaf oil showed the best monophenolase inhibition with the IC50 of 245.59 µg/mL, while L. myrrha leaf oil inhibited diphenolase with the IC50 of 152.88 µg/mL. From docking study, selina‐1,3,7(11)‐trien‐8‐one showed the highest affinity for both COX‐2 and TNF‐α receptors. Hydrophobic interactions play a great role in the bindings of the studied ligand‐receptor complexes.