The England international and Magpies' number nine will now stay at St. James' Park until the summer of 2025 after agreeing the new deal which will see him continue a goal-laden stay on Tyneside following his arrival from AFC Bournemouth in September 2020.
Wilson has scored 40 goals in 79 league games for United, including two from four appearances this season - a record which has seen him move into fifth in the club's all-time Premier League goalscorers chart. He sits just one goal behind the legendary Les Ferdinand and with eight more goals he will move into second place in the list, behind the great Alan Shearer.
The 31-year-old, who netted 18 times as Eddie Howe’s side finished fourth last season, has scored twice for England, most recently against Malta in June, and won his ninth cap in this week's victory over Scotland.
Callum Wilson said: "I'm delighted to extend my time here. It's a fantastic football club, I've been welcomed ever since I came through the door and now the club's going in a fantastic direction and on a journey so it's nice to commit my future to be to being a part of that.
"We've got some great things to look forward to and I think being around here, the city, fan base, is what players dream of so I can't wait to be around for the next few years.
"When I first joined the club, I had ambitions to come back to the Premier League having been relegated with Bournemouth and over the first few interviews I mentioned Europe and I mentioned getting to 100 Premier League goals.
"They were ambitions of mine and they still are. I'm close to get into the '100 Club' and also becoming the second all-time Premier League scorer for Newcastle would be an amazing achievement, having looked up to Shearer for many years.
"There's so many fantastic names that have been before me at Newcastle - goalscorers who have worn the number nine - and it'd be nice to join them in the record books during my time here."
Eddie Howe, who previously worked with Wilson at Bournemouth before the pair were reunited at St. James’ Park, said: "We're very pleased because Callum has been an integral part of our success.
"He's an outstanding person, an outstanding footballer and I'm delighted he's going to be with us for longer.
"He's an incredibly motivated person and I've never seen Callum not motivated to score goals. I think that's a great thing for a striker.
"He's always there in training and in games, wanting to score goals, and I'm sure that'll be driving him on to achieve more and more with Newcastle United at a very exciting time for the club."