The current study aims to evaluate the effect of tamarind gum (TG) on the optical, mechanical, and drug release potential of poly(vinyl alcohol) (PVA)-based films. This involves preparing PVA-TG composite films with different concentrations of TG through a simple solvent casting method. The addition of TG has enhanced the phase separation and aggregation of PVA within the films, and it becomes greater with the increase in TG concentration. Brightfield and polarized light micrographs have revealed that aggregation is favored by forming crystalline domains at the PVA-TG interface. The interconnected network of PVA-TG aggregates influenced the swelling and drying properties of the films. Using Peleg’s analysis, the mechanical behavior of films was determined by their stress relaxation profiles. The addition of TG has made no significant changes to the firmness and viscoelastic properties of films. However, long-durational relaxation times indicated that the interconnected network might break down in films with higher TG concentration, suggesting their brittleness. The controlled release of ciprofloxacin in HCl solution (0.5% (w/v)) appears to decrease with the increase in TG concentration. In fact, TG has inversely affected the impedance and altered the ionic conductivity within the films. This seems to have directly influenced the drug release from the films as the mechanism was found to be non-Fickian diffusion (based on Korsmeyer–Peepas and Peppas–Sahlin kinetic models). The antimicrobial study using Escherichia coli was carried out to evaluate the activity of the drug-loaded films. The study proves that TG can modulate the properties of PVA films and has the potential to fine-tune the controlled release of drugs from composite films.