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The programme stars Drew Barrymore and Timothy Olyphant as married realtors Sheila and Joel, who endeavour to live a normal life after Sheila begins to transform into a zombie.
It has run for three seasons, with the most recent having dropped on Netflix at the end of March.
While Netflix has not revealed why it has decided to cancel the show, it said in a statement: "The world had never known a 'zom-com' until Santa Clarita Diet, and we're indebted to creator Victor Fresco for bringing this idea to Netflix.
"To their endless credit, the incredible Drew Barrymore and Timothy Olyphant were totally game, with an uncanny knack for comedy that brought Sheila and Joel Hammond to vibrant life, even though one of them was undead.
"We're grateful to Victor, Drew, and Timothy, along with fellow executive producers Tracy Katsky, Aaron Kaplan, Chris Miller and Ember Truesdell and the terrific cast, including Liv Hewson and Skyler Gisondo, and crew for three hilarious seasons for Netflix members to discover for years to come."
While Netflix remains tight-lipped about the reasons behind the cancellation, it seems creator Victor Fresco and fellow executive Tracy Katsky aren't best pleased with the decision.
They said in a statement: "Like our audience, we were all-in on Sheila and Joel.
"Their relationship, in the face of incredible adversity, was inspiring to write and to watch. Mostly, they were funny, which in a comedy is important.
"Netflix took a chance on this odd show and for that we will always be grateful. They were supportive, ever positive, and appreciative of our work. Until about noon today.
"Still, they were just one phone call away from being a perfect studio. Not bad. Everything ends. This was a thing. And so it ended.
"We'll miss it but are proud of the work we did and will always appreciate the love and enthusiasm we felt from our audience.
"It if was up to them, Sheila and Joel would continue for another 10,000 years."
Fans of the show are also gutted about the news, with one person tweeting: "#SantaClaritaDiet was so unique, so genuinely, laugh out loud funny, and so full of heart. The fact that Netflix cancelled this show is ridiculous."
I can't even believe it. It feels like this story was JUST getting started. Season 3 was their best season. I am irate. #SantaClaritaDiet pic.twitter.com/3vOQvyUUlC
- Xandy :sparkles::heartpulse: (@fancychampy) April 27, 2019
I don't even know why I still have a Netflix account after that. #SantaClaritaDiet pic.twitter.com/QsZkktNgRu
- nik (@nikolspeaks) April 27, 2019
Someone else said: "#SantaClaritaDiet I'm so confused about this. Season 3 literally got 100% on rotten tomatoes... I need an explanation."
A third added: "Okay #SantaClaritaDiet just got cancelled on @netflix and now I don't know what to do with my life. I ain't happy."
Adding a timely Avengers reference, another viewer wrote: "Whoever cancelled santaclarita deserves to get thanos snapped."
Someone else followed suit, saying: "First, the Avengers ends. THEN, Game of Thrones is ending. AND TO PUT THE ICING ON TOP OF THE GOT DANG CAKE. #SantaClaritaDiet GETS CANCELLED????"
You can currently watch all three seasons on Netflix.
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