Grant, a redshirt junior, averaged 19 points and 6.2 assists per game this season for the 8-4 Fighting Irish.
In a statement posted on the Notre Dame website, Grant said he is "no longer enrolled at the University of Notre Dame due to an academic matter that I did not handle properly."
"I take full responsibility for my lack of judgment and the poor decision that I made."
Grant indicated he intends to return to Notre Dame after the spring semester to earn a degree and finish his college basketball career.
"I understand that there is a process that I must go through in order to come back to school and I will be patient with that process," he said.
2014: The Year in Music [PHOTOS]