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The plane had taken off from Ambala on a routine training sortie and crashed at 1047 hrs, an IAF spokesman said in Delhi.
According to preliminary information it crashed in the fields close to Shambu, about 30 km from Chandigarh, Patiala's Senior Superintendent of Police, G S Gill said.
Manjit Singh, station house officer of Shambu police station, said the pilot of the aircraft had ejected out before it crashed in paddy fields. He said police and fire brigade personnel have rushed to the accident site.
A court of inquiry has been ordered into the mishap.