Among those at the Church of St Ignatius Loyola were Meryl Streep, Cate Blanchett, Ethan Hawke, Spike Lee and other show business figures.
Philip Seymour Hoffman, 46, was found dead at his home in Manhattan on Sunday with a syringe in his arm.
While police believe the actor died of a heroin overdose, a post-mortem examination was inconclusive.
The New York City medical examiner’s office has said more tests are needed to determine what exactly killed Philip Seymour Hoffman.
Authorities also found dozens of bags of what seemed to be heroin in the actor’s apartment.
Philip Seymour Hoffman’s partner of 15 years, Mimi O’Donnell, and their three children walked behind the coffin as it was brought into the church on Friday.
Playwright David Bar Katz, who found Philip Seymour Hoffman’s body, looked visibly upset as he arrived before the funeral.
The lights at theatre marquees on New York’s Broadway, the centre of American theatre, were dimmed on Wednesday in Philip Seymour Hoffman’s honor, and a candlelight vigil was held outside the Labyrinth Theater Company. His close family held a private wake on Thursday.
A larger memorial service is being planned for later in February.
Amid the investigation into Philip Seymour Hoffman’s death, three people have been arrested on drug charges, including one on a charge of heroin possession with intent to sell.
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