A town in Kathua, Basholi is situated on the banks of River Ravi at a height of 1,876 ft. Founded by king Bhupat Pal, a Balouria ruler, in 1635, Basholi is renowned for its magnificent palaces and miniature paintings known as Basholi paintings, which emerged as a distinct art form in the 17th and 18th centuries. It lies at a distance of about 149 km from Jammu. The main attraction is Dhar Mahanpur, which is a quaint spot nestled in the Himalayas. A ridge blanketed by thick deodar and chir trees and shrubs, it hosts many tourist melas. A temple dedicated to Goddess Chamunda Devi, located near the main chowk, also draws visitors. The goddess is worshipped in the form of a natural rock.

Other Attractions in Jammu