The Tykes won 3-1 in the League One play-off against Millwall at Wembley on Sunday.
The tour, which started at Oakwell Stadium at 16:15 BST, was followed by a celebration at Barnsley Town Hall.
Up to 6,000 fans were expected to turn out for the event, with many wearing team colours and bringing flags.
Councillor Linda Burgess, the mayor of Barnsley said: "We're really proud to be able to welcome our home team on to the town hall balcony for the second time this season."
The parade followed a route which took in Grove Street, Pontefract Road, Kendray Street, Eldon Street, Church Street and Sadler Gate.
Barnsley's earlier trip to Wembley saw them beat Oxford United 3-2 in the Johnstone's Paint Trophy final.
Thousands of people lined the streets as Barnsley Football Club marked their promotion to the Championship with an open-top bus parade.