diff --git a/dapr/clients/grpc/_request.py b/dapr/clients/grpc/_request.py
index 0f149e1f..9ad291cf 100644
--- a/dapr/clients/grpc/_request.py
+++ b/dapr/clients/grpc/_request.py
@@ -281,7 +281,7 @@ class TransactionalStateOperation:
     def __init__(
         self,
         key: str,
-        data: Union[bytes, str],
+        data: Optional[Union[bytes, str]] = None,
         etag: Optional[str] = None,
         operation_type: TransactionOperationType = TransactionOperationType.upsert,
     ):
@@ -297,7 +297,7 @@ def __init__(
         Raises:
             ValueError: data is not bytes or str.
         """
-        if not isinstance(data, (bytes, str)):
+        if operation_type != TransactionOperationType.delete and not isinstance(data, (bytes, str)):
             raise ValueError(f'invalid type for data {type(data)}')
 
         self._key = key
@@ -311,7 +311,7 @@ def key(self) -> str:
         return self._key
 
     @property
-    def data(self) -> Union[bytes, str]:
+    def data(self) -> Union[bytes, str, None]:
         """Gets raw data."""
         return self._data
 
diff --git a/dapr/clients/grpc/client.py b/dapr/clients/grpc/client.py
index 19f4a3df..4aa75b55 100644
--- a/dapr/clients/grpc/client.py
+++ b/dapr/clients/grpc/client.py
@@ -933,7 +933,7 @@ def execute_state_transaction(
                 operationType=o.operation_type.value,
                 request=common_v1.StateItem(
                     key=o.key,
-                    value=to_bytes(o.data),
+                    value=to_bytes(o.data) if o.data is not None else to_bytes(''),
                     etag=common_v1.Etag(value=o.etag) if o.etag is not None else None,
                 ),
             )
diff --git a/examples/state_store/README.md b/examples/state_store/README.md
index 7c323873..67ea5791 100644
--- a/examples/state_store/README.md
+++ b/examples/state_store/README.md
@@ -41,6 +41,7 @@ expected_stdout_lines:
   - "== APP == Cannot save bulk due to bad etags. ErrorCode=StatusCode.ABORTED"
   - "== APP == Got value=b'value_1' eTag=1"
   - "== APP == Got items with etags: [(b'value_1_updated', '2'), (b'value_2', '2')]"
+  - "== APP == Got values after transaction delete: [b'', b'']"
   - "== APP == Got value after delete: b''"
 timeout_seconds: 5
 -->
@@ -67,6 +68,8 @@ The output should be as follows:
 
 == APP == Got items with etags: [(b'value_1_updated', '2'), (b'value_2', '2')]
 
+== APP == Got values after transaction delete: [b'', b'']
+
 == APP == Got value after delete: b''
 ```
 
diff --git a/examples/state_store/state_store.py b/examples/state_store/state_store.py
index f87167f5..a7b449d6 100644
--- a/examples/state_store/state_store.py
+++ b/examples/state_store/state_store.py
@@ -78,6 +78,7 @@
                 etag=state.etag,
             ),
             TransactionalStateOperation(key=another_key, data=another_value),
+            TransactionalStateOperation(key=yet_another_key, data=yet_another_value),
         ],
     )
 
@@ -87,7 +88,26 @@
     ).items
     print(f'Got items with etags: {[(i.data, i.etag) for i in items]}')
 
+    # Transaction delete
+    d.execute_state_transaction(
+        store_name=storeName,
+        operations=[
+            TransactionalStateOperation(operation_type=TransactionOperationType.delete, key=key),
+            TransactionalStateOperation(
+                operation_type=TransactionOperationType.delete, key=another_key
+            ),
+        ],
+    )
+
+    # Batch get
+    items = d.get_bulk_state(
+        store_name=storeName, keys=[key, another_key], states_metadata={'metakey': 'metavalue'}
+    ).items
+    print(f'Got values after transaction delete: {[data.data for data in items]}')
+
     # Delete one state by key.
-    d.delete_state(store_name=storeName, key=key, state_metadata={'metakey': 'metavalue'})
-    data = d.get_state(store_name=storeName, key=key).data
+    d.delete_state(
+        store_name=storeName, key=yet_another_key, state_metadata={'metakey': 'metavalue'}
+    )
+    data = d.get_state(store_name=storeName, key=yet_another_key).data
     print(f'Got value after delete: {data}')
diff --git a/tests/clients/test_dapr_grpc_client.py b/tests/clients/test_dapr_grpc_client.py
index d3eab236..ad90d8cc 100644
--- a/tests/clients/test_dapr_grpc_client.py
+++ b/tests/clients/test_dapr_grpc_client.py
@@ -33,7 +33,7 @@
 from .fake_dapr_server import FakeDaprSidecar
 from dapr.conf import settings
 from dapr.clients.grpc._helpers import to_bytes
-from dapr.clients.grpc._request import TransactionalStateOperation
+from dapr.clients.grpc._request import TransactionalStateOperation, TransactionOperationType
 from dapr.clients.grpc._state import StateOptions, Consistency, Concurrency, StateItem
 from dapr.clients.grpc._crypto import EncryptOptions, DecryptOptions
 from dapr.clients.grpc._response import (
@@ -508,6 +508,23 @@ def test_transaction_then_get_states(self):
         self.assertEqual(resp.items[1].key, another_key)
         self.assertEqual(resp.items[1].data, to_bytes(another_value.upper()))
 
+        dapr.execute_state_transaction(
+            store_name='statestore',
+            operations=[
+                TransactionalStateOperation(
+                    key=key, operation_type=TransactionOperationType.delete
+                ),
+                TransactionalStateOperation(
+                    key=another_key, operation_type=TransactionOperationType.delete
+                ),
+            ],
+        )
+        resp = dapr.get_state(store_name='statestore', key=key)
+        self.assertEqual(resp.data, b'')
+
+        resp = dapr.get_state(store_name='statestore', key=another_key)
+        self.assertEqual(resp.data, b'')
+
         self._fake_dapr_server.raise_exception_on_next_call(
             status_pb2.Status(code=code_pb2.INVALID_ARGUMENT, message='my invalid argument message')
         )