The hard-hitting Glory midfielder has brought an end to his career while Perth will release injured veteran Travis Dodd at the end of the season.
Despite insisting last month he was keen to play on for another year, Burns has since changed his mind, bringing an end to his nearly two-decade career in the game.
The robust midfielder began his career in the NSL with Sydney United and then Parramatta Power before moving to Europe where he enjoyed stints at Leeds United, Barnsley, Wisla Krakow and Romanian side Unirea Urziceni.
He returned home in 2009 to captain Perth Glory, asserting himself as a key figure in the side's midfield and leading them to a grand final appearance in the 2011-12 season against the Brisbane Roar.
Burns was also capped 11 times for the national side, making his debut in 2000 against Scotland at Hampden Park.
The 35-year-old described his debut in the green and gold as one of the most memorable experiences of his career, with the Socceroos 2-0 win making it even sweeter.
"I remember that day well," Burns told Perth Glory's website, "It still is one of the most significant highlights of my career. To represent my home country, wearing the green and gold in front of the most influential people in my life, like my father, things just don't get any better.
"What makes the game even greater was that my family has some Scottish heritage, so the day was very special to me, and of course we won."
Burns will be remembered for his hard-hitting, no-nonsense playing style which has seen him yellow carded 40 times in his five seasons in the A-League alone.
His decision comes just hours after fellow Glory midfielder Travis Dodd was told he would not be re-signed next season.