The controversial Qatari had been in trouble with the governing body over the last couple of years, and has decided to end his career in football.
The Qatari ran for the FIFA presidency in 2011, but was embroiled in a corruption scandal and given his first suspension by the organization.
The sanction was overturned by the Court of Arbitration for Sport in July 2012, but the 63-year-old was kept out of the sport by another ban from the Asian Football Confederation (AFC) for financial wrongdoing, and yet another ban from the the Zurich-based federation.
Following an investigation into his alleged activities during the election campaign, Bin Hammam has now chosen to end his career in the game, while at the same time being banned for life.
"Mr Bin Hammam, FIFA Executive Committee member and AFC president, has resigned from all his positions in football with immediate effect and will never be active in organized football again," a statement read.
"This results from a resignation letter of Mr Bin Hammam addressed to FIFA and AFC dated on 15 December 2012.
"In view of the fact that under the new FIFA Code of Ethics, the FIFA Ethics Committee remains competent to render a decision even if a person resigns, the Adjudicatory Chamber decided to ban Bin Hammam from all football-related activity for life."
Bin Hammam was president of the AFC between 2002 and 2011, and worked alongside current president Sepp Blatter in several of the Swiss' election campaigns.