Smoke Testing is initial level testing to check whether complete functionality is available or not.It is done at build level.
Sanity Testing is initial level testing to check whether application behaviour is proper or not. It is done at system level.

Conceptually both r same.Perceptionally they r different.
In both the testings we check for the availability for the entire application.

Smoke Testing - we just whether the entire application is present or not.
Sanity Testing - We check for whether the entire application available is proper or not.


Smoke test: Smoke test is done on Builds (.exe file) to check whether Overall Functionalities is working or not....
Sanity test: Sanity test is done to check whether the application is build on client requirements or not ...

Note:If 60 % of Functionality are not working we have to stop testing.

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