There was no immediate word on casualties from the powerful bombing, which occurred close to a military base next to Kabul's international airport, and rattled windows several kilometres away.
The attack on Northgate, a heavily guarded compound for foreign contractors which was previously attacked in July 2013, underscores the worsening security situation as the Taliban ramp up their annual summer offensive.
"A truck packed with explosives struck the entrance of Northgate," an Afghan security source told AFP, without offering any further details.
He claimed that more than 100 "American invaders" were killed and wounded in the assault, which began around 1:30 am (2100 GMT Sunday). The Taliban are routinely known to exaggerate the toll from their attacks.
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Afghan commandos cordoned off all arterial roads leading to Northgate, with erratic grenade explosions and gunfire coming from the scene after daybreak, local TV station Tolo said.
It added that NATO special forces were overseeing the clearance operation at the Northgate, a luxury enclave which had been fortified with blast walls, watchtowers and sniffer dogs.
Tremors from the powerful explosion, which was preceded by a power outage, were felt across the city.
The assault comes as the Taliban ramp up their annual summer offensive after a brief lull during the holy fasting month of Ramadan, which ended in early July.
A chillingly similar Taliban attack on the compound in July 2013 -- a truck bomb followed by a gun siege -- killed nine people, including four Nepalese and one Briton.
Monday's attack comes after twin bombings left 80 people dead in the Afghan capital on July 23, in the deadliest attack in the city since the Taliban were ousted from power in 2001.
That attack claimed by the Islamic State group, which is less powerful than the Taliban but is making gradual inroads into Afghanistan.