She met the President Pranab Mukerjee and the Home Minister Rajnath Singh yesterday in Delhi yesterday, and resigns from her post today.
She is the sixth governor of state in India to resign after Narendra Modi formed government in May this year at centre.
Reportedly, there are more six governors who have been asked to resign as Modi government made it clear it wants to replace the governors who were appointed during the UPA government and are the close knits of the Congress.
Aziz Qureshi, the Governor of Jharkhand, had took the issue to the Supreme Court after he received the alleged calls asking his resignation from the home ministry office.
Shiela Dixit will now again move to New Delhi where the elections are due after Arvind Kejriwal resigned as the CM in February.