diff --git a/doc/source/whatsnew/v1.4.0.rst b/doc/source/whatsnew/v1.4.0.rst
index 040c424fb4127..1570fc5e59093 100644
--- a/doc/source/whatsnew/v1.4.0.rst
+++ b/doc/source/whatsnew/v1.4.0.rst
@@ -812,6 +812,7 @@ Groupby/resample/rolling
 - Bug in :meth:`GroupBy.nth` failing on ``axis=1`` (:issue:`43926`)
 - Fixed bug in :meth:`Series.rolling` and :meth:`DataFrame.rolling` not respecting right bound on centered datetime-like windows, if the index contain duplicates (:issue:`3944`)
 - Bug in :meth:`Series.rolling` and :meth:`DataFrame.rolling` when using a :class:`pandas.api.indexers.BaseIndexer` subclass that returned unequal start and end arrays would segfault instead of raising a ``ValueError`` (:issue:`44470`)
+- Fixed bug in :meth:`GroupBy.__iter__` after selecting a subset of columns in a :class:`GroupBy` object, which returned all columns instead of the chosen subset (:issue:`#44821`)
 - Bug in :meth:`Groupby.rolling` when non-monotonic data passed, fails to correctly raise ``ValueError`` (:issue:`43909`)
 - Fixed bug where grouping by a :class:`Series` that has a categorical data type and length unequal to the axis of grouping raised ``ValueError`` (:issue:`44179`)
 
diff --git a/pandas/core/groupby/groupby.py b/pandas/core/groupby/groupby.py
index a1866e3bdc9f6..acf65a464a45f 100644
--- a/pandas/core/groupby/groupby.py
+++ b/pandas/core/groupby/groupby.py
@@ -758,7 +758,7 @@ def __iter__(self) -> Iterator[tuple[Hashable, NDFrameT]]:
         Generator yielding sequence of (name, subsetted object)
         for each group
         """
-        return self.grouper.get_iterator(self.obj, axis=self.axis)
+        return self.grouper.get_iterator(self._selected_obj, axis=self.axis)
 
 
 # To track operations that expand dimensions, like ohlc
diff --git a/pandas/tests/groupby/test_indexing.py b/pandas/tests/groupby/test_indexing.py
index aea659445801b..0caa17f387a94 100644
--- a/pandas/tests/groupby/test_indexing.py
+++ b/pandas/tests/groupby/test_indexing.py
@@ -288,6 +288,17 @@ def test_column_axis(column_group_df):
     tm.assert_frame_equal(result, expected)
 
 
+def test_columns_on_iter():
+    # GitHub issue #44821
+    df = pd.DataFrame({k: range(10) for k in "ABC"})
+
+    # Group-by and select columns
+    cols = ["A", "B"]
+    for _, dg in df.groupby(df.A < 4)[cols]:
+        tm.assert_index_equal(dg.columns, pd.Index(cols))
+        assert "C" not in dg.columns
+
+
 @pytest.mark.parametrize("func", [list, pd.Index, pd.Series, np.array])
 def test_groupby_duplicated_columns(func):
     # GH#44924
diff --git a/pandas/tests/window/test_base_indexer.py b/pandas/tests/window/test_base_indexer.py
index a7ad409683ec8..5593aa8351c69 100644
--- a/pandas/tests/window/test_base_indexer.py
+++ b/pandas/tests/window/test_base_indexer.py
@@ -437,7 +437,7 @@ def test_rolling_groupby_with_fixed_forward_many(group_keys, window_size):
     result = df.groupby("a")["b"].rolling(window=indexer, min_periods=1).sum()
     result.index.names = ["a", "c"]
 
-    groups = df.groupby("a")[["a", "b"]]
+    groups = df.groupby("a")[["a", "b", "c"]]
     manual = concat(
         [
             g.assign(