The former X Factor judge was alleged to be deciding on whether or not to take part in the BBC One show, according to The Mirror.
However, her spokesperson later denied the link, confirming that Minogue will not join this year's lineup.
"Dannii is definitely not taking part in Strictly Come Dancing this year," her PR stated.
The insider had originally claimed: "The Strictly team would love to have Dannii as a contestant. She would be a huge attraction.
"There has been a series of talks with her and her team, and the ball was very much left in her court."
Minogue was previously rumoured to be making a return as a judge on The X Factor.
However, she allegedly rejected a deal to come back to the ITV1 talent show, which is said to have been in the region of £1 million.
Chris Evans, snooker star Ronnie O'Sullivan and Coronation Street's Michelle Keegan have also been tipped to feature in the next series.