The Argentina international agreed personal terms on a five-year deal.
The 25-year-old, who ended a two-year stay with rivals Manchester United at the end of the previous season, agreed personal terms on a five-year deal.
He became the first player to move between the two Manchester clubs since Terry Cooke swapped United for City in 1999.
City manager Mark Hughes told mcfc.co.uk: “It is terrific news. Carlos is an international player of the highest class who possesses all the attributes that will help drive this club forward.”
Argentina international Tevez had won successive Premier League titles at United, where he was a crowd favourite, in addition to the Champions League, Club World Cup and League Cup.
United boss Sir Alex Ferguson was unsurprised to see the former West Ham player move on.
“I phoned him on holiday and he never got back to me and I texted him twice and he never got back to me then either, so obviously he had made his mind up a long time ago,” said Ferguson.
Ferguson was later annoyed after City erected a blue billboard featuring Tevez above the words ‘Welcome to Manchester’.
The forward scored 73 goals in 148 outings for City but his time at the Etihad Stadium was tainted when he reportedly refused to come on as a substitute in a Champions League game against Bayern Munich in September 2011, which led to him not playing again for the club until the following March.
He returned to help City win a maiden Premier League title, having captained them to FA Cup final glory in 2011, before moving to Italian giants Juventus in 2013.
Tevez later had two further spells with first club Boca Juniors, either side of a stint in China with Shanghai Shenhua.