It was claimed yesterday by Shakhtar Donetsk director Sergiy Palkin that Paulinho had already agreed to make the move to Inter Milan.
That claim has been dismissed and Goal.com report that talks were held with Paulinho's agent while he was in London, and that a bid for his full £17 million release fee will be made in due course.
Paulinho himself confirmed his agent was in London last week - although insisted it wasn't to discuss a move to Tottenham.
Unconfirmed reports previously suggested that Spurs were eyeing a €14 million bid for the box-to-box midfielder, but Goal.com report that a higher bid should be forthcoming.
"Spurs have indicated they are willing to open the bidding at around £14m but are prepared to increase their offer because of the competition they'll face from Italian clubs," the website quote 'a source' as saying.
"AVB is desperate to ensure there are no gaps in his squad after just missing out on the Champions League last season."
Paulinho has previously insisted he has no plans to make a decision over his future until after the end of Brazil's involvement in the Confederations Cup, which runs through to June 30.
Roma have also been linked with a move for the 24-year-old, who has previously hinted he would be interested in a move to Italy.
Despite all the rumours surrounding Tottenham and other clubs interest in Paulinho, Corinthians president Mario Gobbi insists no offer has been made for the Brazilian international as yet.
In the meantime Spurs look like having a battle on their hands if they want to keep manager Andre Villas-Boas out of the clutches of Paris Saint-Germain.