"Pakistan Army did not commit any ceasefire violation on LoC [line of control] as alleged by India. Indian blame of mutilating Indian soldiers is also false. Pakistan Army is highly professional force and will never disrespect a soldier," Spokesperson of Pakistani Foreign Ministry Nafees Zakaria wrote on Twitter.
The Indian Army vowed to respond to the incident "in an appropriate way."
Last November, three Indian soldiers were reportedly killed by the militants, with one of them been beheaded. The Indian Army shelled the Pakistan-controlled territory along the line of control in response.
Islamabad and New Delhi have been both laying claims to Kashmir since India became independent from the United Kingdom and was partitioned into two states, namely India and Pakistan, in 1947. Tensions in the region have escalated in recent months, after the Indian security services killed a leader of a local separatist group in 2016.