A fatwa was issued against Rushdie by Iran's late leader Ayotollah Khomeini in 1989 over passages in his book The Satanic Verses.
Iran's Khordad Foundation has raised the reward offered for his killing by 500,000 pounds to 2.5 million pounds.
According to the Sun, the magazine also lists American pastor Terry Jones, who burned the Koran on a 9/11 anniversary, among its targets.
Alongside the images is the slogan: "Yes we can. A bullet a day keeps the infidel away."
The list includes Molly Norris, Ayaan Hirsi Ali, Flemming Rose, Morris Swadiq, Salman Rushdie, Girt Wilders [sic], Lars Vilks, Stephane Charbonnie, Carsten Luste, Terry Jones, and Kurt Westergaard.
The article also states: “Defend Prophet Muhammad. Peace be upon him.”
The banned extremist web magazine is published by the Middle East Media Research Institute based in Washington D.C.
(With inputs from ANI and The Sun)