"As a result of ongoing discussions, Netflix and the producers have written Danny Masterson out of The Ranch. [Monday] was his last day on the show, and production will resume in early 2018 without him," the streaming service said in a statement.
The Hollywood Reporter said the 41-year-old actor will appear in the second half of Season 2 of The Ranch since the episodes have already been filmed.
Masterson's firing comes as four women have accused him of sexually assaulting them in incidents dating back to the early 2000s.
The actor denied the allegations to TMZ.
"I am obviously very disappointed in Netflix's decision to write my character off of The Ranch. From Day 1, I have denied the outrageous allegations against me. Law enforcement investigated these claims more than 15 years ago and determined them to be without merit," he said. "I have never been charged with a crime, let alone convicted of one. In this country, you are presumed innocent until proven guilty. However, in the current climate, it seems as if you are presumed guilty the moment you are accused."
Masterson and Kutcher previously worked together on That '70s Show from 1998-2006.