The town has historical significance as Mughal Emperor Akbar, was enthroned in a garden near the Kalanaur by Bairam Khan.

It was first established as a Principality by Prince Nakhashena, a brother of King Janamejaya, which was further ruled by his descendants known as Jarral Rajputs.

The town is situated about 25 km to the west of Gurdaspur city, on the banks of the Kiran, a minor rivulet that merges into the Ravi river.

Prince "Nakshasena" established a separate independent kingdom at Indraprastha, which later rose to become a dominant force in its own right.

[6] Kalanaur was later captured in the twelfth century by the armies of the Ghorid Empire after a battle with the Jarral Rajas.

During the reign of Sayyid Mubarak Shah (1421–35), Kalanaur was ruled by the Khokhar Rajput tribe under the leadership of Raja Jasrat.

In February 1556, Mughal Emperor Akbar, was enthroned in a garden near the Kalanaur by Bairam Khan.