The old name of Shikohabad was Mohammad Mah (the name still exists as Mohmmad mah near Tahsil and kotwali) and Shikohabad was named after a famous person of the Mughal era called Dara Shikoh the eldest of brothers of Emperor Aurangzeb. In its present form, the town has hardly any recognizable evidence of that era. Shikohabad was ruled under the estate of Labhowa from 1794–1880. The Rajas of Labhowa of Jhala dynasty were well known to the Mughal rulers and their generals and along with them controlled over 100 square kilometres (39 sq mi) of this area
