"Artillery fire targeted Bamarni sector, killing two civilians -- minors -- and injuring two other civilians," Warchine Suleimane, head of a local district, told AFP.
Relatives said that two children aged between 10 and 13 were killed by the fire.
They spoke to AFP at a mosque in the town of Dohuk, where the bodies were taken for funeral preparations.
In a statement, Kurdish counter-terror forces accused the PKK of "firing two rockets on the village of Ardana in Bamarni sector", and they put the toll at two dead and two injured.
Ankara has launched a series of operations against PKK terrorists in Iraq and Syria, the latest one in northern Iraq beginning in April.
Ankara and its Western allies brand the PKK a terrorist organization.