Allopurinol is poorly water soluble drug used in treatment of gout. Rapid onset of action of allopurinol drug in treatment of gout is required. Solubility is rate limiting step for this drug. To enhance the solubility here solid dispersion and crystal engineering approach was selected and applied. The solubility and dissolution rate of allopurinol can be enhanced by the use of SDs of allopurinol with PVPK30. The solubilization effect of PVPK30, reduction of particle aggregation of the drug, absence of crystallinity, and alteration of the surface properties of the drug particles might be responsible for the enhanced solubility and dissolution rate of allopurinol from its SD. From FTIR spectroscopy, it was concluded that there was no well defined interaction between allopurinol and PVPK30, since no new peaks or shift of peaks could be observed. The absence of an endothermic peak of allopurinol in the DSC thermo grams of SDs with PVPK30showed the conversion of allopurinol from crystalline to amorphous state. It can be concluded that the preparation SDs of allopurinol with Polymer PVPK30 with ratio (1:2) provides a promising way to enhance its solubility and dissolution.