Luminescent carbon nanodots (CNDs) have been synthesized by using laser induced fragmentation of graphite powder in deionized water. The transmission electron microscopy (TEM) image shows that the diameters of the CNDs lie in the range of 30–100nm. The synthesized sample has been characterized by UV–vis absorption spectroscopy, Raman spectroscopy and Photoluminescence spectroscopy. The synthesized CNDs exhibited visible, tunable and stable luminescence property. These CNDs have potential future applications such as optoelectronic devices and biosensors. The CNDs having bio-compatibility and bio-absorbability hence it may be used in fluorescence label and microscopy of living organisms.