Two Pakistan Army soldiers, Havaldar Abdul Rub, 31, and Naik Khurram, also 31, and two civilians were martyred when Indian troops resorted to unprovoked firing at Nakiyal Sector along the LoC on Saturday.
Naik Khurram will be laid to rest later in the day.
A large number of army officials and the general public attended the funeral prayers of the martyred soldier.
Tensions between India and Pakistan are at an all-time high following Indian incursions into Pakistani airspace and subsequent downing of two Indian aircraft by Pakistan Air Force.
Indian warplanes intruded into Pakistani airspace in the dark of night on February 26, however, they turned back soon after Pakistan Air Force scrambled its fighter jets.
In order to make their escape, fleeing Indian jets dropped their payload in a hilly forested area near the northern Pakistani town of Balakot, about 40 km (25 miles) from the Line of Control (LoC).
The Indian government was quick to take credit for a “successful attack” and put the death toll to over 300.
Pakistani officials, as well as the locals, rejected the claims, inviting local and international media to visit the site of the so-called attack where around a dozen trees were the only “casualty”.