Bonhams said the dress, which also will be displayed in Los Angeles prior to the sale, could fetch from $50,000 to $70,000 at the April 26 auction.
The dress was custom-made for Garland, who was 17 in 1939, the year the film was released. It has a 27-inch waist and her name on an inside hem label. The auction house didn't identify the previous owner.
"This dress represents the quintessential magic of childhood in the most beloved film of the 20th century," said Jon Baddeley, group head of Bonhams collectors' department. "It has become a cherished memory for millions of fans worldwide and was worn by one of the most talented and respected stars in Hollywood."
Other items featured in the auction of rock, pop and film memorabilia include John Lennon's handwritten lyrics for "Revolution" and a jacket worn by Mick Jagger.