The 32-year-old filmmaker unveiled the poster of the film on Twitter.
"As the year comes to an end and a New Year begins ... Here's my gift to all Dhanush fans. VIP 2. First Look Posters #TeaKadaiRajasAreBack #2017," she wrote.
Kajol will be part of the sequel to the hit movie "VIP" and the film will be co-produced by Dhanush's Wunderbar Films.
The actress, who will mark her comeback to Tamil film industry after two decades, also took to the micro-blogging site to share a picture of herself along with Dhanush and Soundarya.
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She had earlier acted in the Tamil film "Minsara Kanavu", starring Prabhu Deva and Arvind Swamy.
Dhanush, 33, who is also Soundarya's elder sister's husband, thanked the filmmaker for always being their for him.
"Thank you Soundarya that's a very sweet gesture. VIP 2. Thank you all for always standing by me. Love you all.