A reported Liverpool deal for Burnley striker Danny Ings that would see him loaned back to the Clarets for the rest of the season would be against Premier League rules.
The Reds have emerged as the latest club to show interest in the England Under-21 striker, who is out of contract at the end of season.
But Burnley released a statement stating the proposed deal, which was not confirmed or denied by Liverpool, would flout the rules.
Clarets chief executive Lee Hoos said: "This type of move would violate Premier League rule V7 regarding transfers so simply cannot happen."
The Premier League confirmed Burnley's interpretation, with rule V7.1 stating: "A Temporary Transfer to a Club may not take place in the Transfer Window in which the Transferor Club acquired the Player's registration."
Both Burnley manager Sean Dyche and Ings have repeatedly insisted the 22-year-old will not leave Turf Moor this month, despite the potential for the club to garner a higher fee than the compensation they would be entitled to were he to leave in the summer.
Contract negotiations remain ongoing, and Hoos said: "This is the last time we will be making any comment regarding the player's future.
"Over the course of the window, the player himself, Sean Dyche and the chairman have made it clear he won't be going anywhere and we consider that the end of the matter."
Ings has made an impressive start to life in the Premier League, scoring seven goals so far this season, and there has been no shortage of interest.
As well as Liverpool, Tottenham are reported to be tracking the former Bournemouth striker while Real Sociedad manager David Moyes watched the forward against Liverpool at Turf Moor on Boxing Day.
Should Ings allow his contract to run out, it would more than likely spark a bidding war between a number of clubs in relation to the player's wages.
Under FIFA rules regarding young players, Burnley would be entitled to compensation in that instance, but it is understood Sociedad would only be liable to pay £300,000 - leaving them plenty of room to offer a huge salary - while fellow English clubs could end up paying a fee 10 times that amount.
Liverpool manager Brendan Rodgers does not expect many, if any departures, from his first-team squad before Monday but he will allow 17-year-old Sheyi Ojo to go out on loan.
After Jordon Ibe's success at Derby in the first half of the season, Ojo, who has yet to make his senior debut but was on the bench for recent matches against Burnley and Leicester, is set for a temporary move to Sky Bet Championship strugglers Wigan.