The body of one of the soldiers was mutilated, according to Northern Command of Indian Army.
The brutal act on the part of Pakistani-sponsored terrorists has angered people across the nation.
The families of the deceased jawans, who died while protecting the country's borders, were devastated by the news.
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Media reports say relatives of soldier Shashank Kumar Singh from Ghazipur, Uttar Pradesh, and Rifleman Prabhu Singh from Jodhpur, Rajasthan--both killed in action on LoC in Machhal sector--remained inconsolable.
"I lost my only son to the nation; India should give a befitting reply to Pakistan," father of Singh told ANI.
Reacting to Tuesday's killing of three soldiers, defence minister Manohar Parrikar told security forces to retaliate in strongest manner after he was briefed by the vice chief of army Lt. Gen Bipin Rawat on the incident.
According to reports, a total of 18 Indian soldiers have been killed in the Line of Control by multiple acts carried out by the Pakistani army, since Indian army's cross border surgical strike on terror launch pads situated in the Pakistan occupied Kashmir.