Allegri's future had been in doubt ever since Juventus were knocked out of the Champions League quarter-finals by Ajax.
Juve had been considered among the favourites for Europe's top competition following the signing of Cristiano Ronaldo at the start of the season, with many suggesting he was the missing piece of the puzzle after the Serie A champions reached the final in 2017 and were narrowly knocked out by eventual winners Real Madrid last term.
The loss to Ajax ended their challenge, though, and some supporters have grown frustrated with Allegri's pragmatic tactics, despite him leading Juve to an eighth Serie A title in a row in 2018-19.
After it became clear a meeting was scheduled with president Andrea Agnelli this week, a change looked likely, and an announcement on Friday confirmed Juve will begin looking for a new coach.
"Massimiliano Allegri will not be on the Juventus bench for the 2019-2020 season," a statement read.
"The coach and the president, Andrea Agnelli, will meet the media together at tomorrow's press conference - Saturday 18 May, at 1400 (local time) in the press conference hall of Allianz Stadium."
Allegri has been linked with several clubs away from Serie A in recent times, with Paris Saint-Germain and Chelsea said to be interested should they opt to change coach.
He will take charge of his final home game against Atalanta on Sunday, before travelling to Sampdoria for his last match at the helm the following Saturday.
Media reports have suggested Juve's ideal candidate is Manchester City coach Pep Guardiola, while former midfielder Claudio Marchisio urged the club to go for Liverpool manager Jurgen Klopp.
With neither option looking particularly likely, however, France coach Didier Deschamps a former Juve player is said to be a possible frontrunner for the job.