Khanpur, located in Khyber Pakhtunkhwa district, is a small town near Islamabad only at a distance of 50 kilometers, adjacent to Taxila. Khanpur is a tiny dwelling developed near the picturesque man-made lake serving as a water reservoir to cater water supply even to Islamabad across the Margalla Hills, besides being used for domestic use, for irrigation and nearby industrial areas. Selection of venue for Khanpur Dam has an interesting though controversial history; however it was completed in 1983 using the natural location on Haro River. The picturesque Khanpur Lake is one of the most scenic and loveliest places in Pakistan and would match any famous place throughout the world. Khanpur Lake carries great potential for a variety of activities, including rowing, canoeing sailing, jet skiing, para-sailing, snorkeling, scuba diving, angling, swimming and cliff diving. Some non-aqua activities at Khanpur include paragliding, rock climbing, abseiling, hiking and bird watching while for people interested in history, the remains of Gandhara are spread all around as Taxila was one of the major centers of Buddhism.

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