The midfielder joins on an initial season-long loan for a fee of €10 million (£9m/$12m) with the option to buy him outright for €15m (£14m/$18m) next summer.
“We are excited to welcome Sandro to the Rossoneri family," said club legend and current technical director Paolo Maldini.
"As a talented, young midfielder he will not only embrace the values of AC Milan but also make a significant contribution to the future success of the club."
Tonali, who has earned three caps for the Italian national team, made 89 appearances and scored six goals over three seasons with the Brescia first team.
Last season, the midfielder featured 36 times, earning interest from the likes of Barcelona and Manchester United as a result of his Serie A breakthrough.
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