Dutt is being given remission as per the jail manual after clearance from the Home department, a senior official said.
Minister for State (Home) Ranjit Patil signed the file allowing Dutt's release, without penalising him for reporting late from his furlough in January 2015.
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The 56-year-old actor was jailed in 1996 and spent 18 months behind bars before walking out on bail.
In 2013, the Supreme Court sentenced him to five years in prison for the crime.
Dutt is now completing the remaining prison term of 42 months.
After he was sent to Yerawada jail in May 2013, Dutt had been out on parole twice and an equal number of times on furlough.
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