The 29-year-old scored eight goals during 18 appearances in a loan spell with Crawley Town last season, and had been linked with a permanent move to the League One side.
Manager Neal Ardley told Wimbledon's website: "If you look at Matt's goals record, then he is as good as it gets at this level.
"He is a fantastic finisher and a real predator in the box. I'm chuffed because this is a signing I've worked on for two months.
"I've had to show a lot of patience and it's been tough, but for a club like us this is a major signing. If he goes on to do as well as I hope then we are all going to be very excited."
The 29-year-old spent part of his youth career with Bournemouth before rejoining the club in 2012.