The striker has agreed to stay in Turin, where he spent 2020-2021 on loan from Atletico Madrid.
Morata scored 20 goals in all competitions last season, his best tally for a single campaign in his career, while also providing 11 assists.
Juve said in a statement on Tuesday: "It goes without saying, Morata is in the right place, at the right time. And, of course, for another year!"
Morata spent two years at Juve from 2014 to 2016 before returning to Real Madrid for the 2016-2017 season.
After a difficult spell at Chelsea, he moved to Atletico initially on loan in 2019 before signing a permanent deal a year later.
In total, Morata has registered 47 goals and 27 assists in 79 starts for the Bianconeri in all competitions.
Morata has faced criticism in recent days for his performances for Spain. The 28-year-old was booed by Spain fans for missing chances in the 0-0 friendly draw with Portugal and received similar focus after failing to score in the goalless draw with Sweden in La Roja's Euro 2020 opener on Monday.