The 33-year-old was taken to hospital in a helicopter after his car was involved in a massive 15-vehicle crash, his car flying over another on lap 13 of today's event.
IndyCar chief executive Randy Bernard confirmed 'IndyCar is very sad to announce that Dan Wheldon has passed away from unsurvivable injuries.'
Crash: Dan Wheldon was injured in this 15 car pile up at the Las Vegas IndyCar race
Before the news of Wheldon's death was confirmed, fellow driver James Hinchcliffetold Sky Sports: 'It's an unfortunate situation.
'Everyone's thoughts are with Dan right now. I can't describe the scene on the track at the time.
'It's a whole new dimension, knowing Dan flew out of here in a helicopter.'
On fire: Graham Rahal's car burns following the crash in Las Vegas
Another driver, Leeds-born James Jakes, added: 'There was a lot of moving around, people were moving around not holding their line and I saw a car hit outside of turn two.
'There was a lot of debris and the cars at the back slowed down immediately.
'Our thoughts and prayers go out to all the drivers involved in the crash.'
Horror: Wheldon is transported to a medical helicopter following the crash
Successful: Wheldon was the 2005 Indy Racing League IndyCar Series champion