After his defeat in the semi-finals of the Shanghai Masters 1000 against Valentin Vacherot on October 11, the 38-year-old skipped the Paris Masters, which ended on Sunday.
He is set to return to competition this week in Athens with a second-round match against Alejandro Tabilo.
"We have confirmation that Djokovic will be in Turin," federation chief Angelo Binaghi said on Rai Gr Parlamento radio, scotching suggestions that the Serb would withdraw from the event as he did last year.
The ATP Finals is the traditional season-closer bringing together the eight best players of the year.
Djokovic, who first appeared at the event in 2007, currently ranks fourth in the annual rankings.
He has made the semi-final at all four Majors this season and also reached the final of the Miami Open.
In May, he lifted his 100th ATP title in Geneva, becoming the third player in the Open era to achieve that.
Confirmation of Djokovic's participation means that there is only one place left open for the ATP Finals, which will be contested between Felix Auger-Aliassime and Lorenzo Musetti.
They are ranked eighth and ninth respectively in the annual rankings and are separated by 160 points.
