The incident took place after troops started firing unprovoked at Indian posts, local soldiers claimed.
Indian soldiers retaliated to the horrific attack.
It is understood that sporadic gunfire is still being exchanged between the forces.
There are currently no reports of casualties or damage to properties.
Meanwhile, the conflict took place between militant forces and security in the Bandipora district of Jammu and Kashmir.
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The leaders of both South Asian nations recently received a letter from civil society groups in the two Kashmirs that came together to request that the ceasefire is adhered to along the contested border known as the Line of Control (LoC).
The document addressed to both Narendra Modi and Shahid Khaqan Abbasi, the Prime Ministers of India and Pakistan respectively, stressed dialogue is needed to prevent a conflict that could lead to World War 3.
Last year there were 881 ceasefire violations between the two nuclear-armed powers.
The horrifying figure represents a 230 per cent rise compared to 2016 – it is also the highest count in over a decade.
Last month saw 134 violations between the two nations as tensions have continued to soar.
Anuradha Bhasin, the Executive Director of the Indian newspaper, the Kashmir Times, declared the situation between the two South Asian nations was turning “from bad to worse”.
He stated: “The situation is going from bad to worse on the borders.
“That has only increased the sufferings of people on both sides.”
Mr Bhasin is part of a petition that is pushing for an end to the frightening confrontations.
It states that if tensions persist “it will jeopardise the stability of the region and might escalate into an all-out war”.
Pakistan has continued to shell across the disputed border known as the Line of Control (LoC) that killed four Indian soldiers on February 4 and promoted an outcry of revenge from New Delhi.