"It is the ACC's assessment that continuing with its investigation of Mr. Hogan and [Hogan's manager] Mr. [John] Cornell is not justified in the public interest having regard to a range of factors," the commission said in a statement, adding there were "insufficient prospects of securing a conviction."
Hogan, the star of the "Crocodile Dundee" franchise, has been under the microscope for years by tax authorities and was temporarily barred from leaving the country by the Australian Taxation Office earlier this year, The Sydney Morning Herald reported.
Hogan's lawyer, Andrew Robinson, said the move would give his client "immense relief."
"After nearly six years of massively costly investigations, during which our clients have been routinely branded in the local and international press as tax cheats and tax criminals, the news that the ACC has acknowledged that it does not have the basis to continue with a criminal investigation is of immense relief to them," Robinson said in a statement.
While the ACC is no longer investigating Hogan, the Tax Office is continuing its probe of the actor's finances.
Jordana Brewster on Paul Walker: 'He was an enormous presence in my life'
Exploding whale video goes viral on Internet