The bus from Indian side, carrying 28 passengers reached Kaman Post - the zero point on Line of Control in Uri sector of Baramulla district - shortly before Noon, officials said.
They said the passengers including 10 PoK residents, who returned home after visiting their relatives in the Valley, and 18 Indian citizens headed for their relatives' homes in PoK.
PoK authorities suspended both travel and trade on the Srinagar-Muzaffarabad road after 110 packets of brown sugar worth Rs 100 crore were recovered from a truck coming from across the LoC on January 17.
The driver of the vehicle was arrested.
The PoK authorities in retaliation detained 27 Indian drivers and their trucks demanding release of the arrested driver. They also refused to take back 48 other PoK drivers till their demand was met.
The officials from two sides held several meetings to break the deadlock and during the latest round of talks on January 30 decided to resume the Bus service.
They also decided to continue the talks to work out a solution to the impasse in the trade.