User equals untrustworthy. Never trust untrustworthy user\'s input. I get that. However, I am wondering when the best time to sanitize input is. For example, do you blindly
It depends on what kind of sanitizing you are doing.
For protecting against SQL injection, don't do anything to the data itself. Just use prepared statements, and that way, you don't have to worry about messing with the data that the user entered, and having it negatively affect your logic. You have to sanitize a little bit, to ensure that numbers are numbers, and dates are dates, since everything is a string as it comes from the request, but don't try to do any checking to do things like block keywords or anything.
For protecting against XSS attacks, it would probably be easier to fix the data before it's stored. However, as others mentioned, sometimes it's nice to have a pristine copy of exactly what the user entered, because once you change it, it's lost forever. It's almost too bad there's not a fool proof way to ensure you application only puts out sanitized HTML the way you can ensure you don't get caught by SQL injection by using prepared queries.
Early is good, definitely before you try to parse it. Anything you're going to output later, or especially pass to other components (i.e., shell, SQL, etc) must be sanitized.
But don't go overboard - for instance, passwords are hashed before you store them (right?). Hash functions can accept arbitrary binary data. And you'll never print out a password (right?). So don't parse passwords - and don't sanitize them.
Also, make sure that you're doing the sanitizing from a trusted process - JavaScript/anything client-side is worse than useless security/integrity-wise. (It might provide a better user experience to fail early, though - just do it both places.)