Sky Sports News understands it would be a straight loan as it stands without an option or an obligation to buy.
Palhinha joined Bayern from Fulham last summer for a fee worth up to £47.4m.
The midfielder has three years remaining on his current contract.
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Frank: We will be active in the transfer market
Tottenham boss Thomas Frank admitted the club are “looking” in the market for further additions in the summer transfer window.
Spurs have already secured the signing of Mohammed Kudus from West Ham, as well as Kota Takai and Luka Vuskovic.
Kevin Danso and Mathys Tel have also seen their initial loan moves converted to permanent deals.
However, Frank’s side missed out on Morgan Gibbs-White after the England international signed a new three-year deal at the City Ground.
Forest accused Spurs of making an illegal approach for the midfielder with a £60m bid earlier this month.
Speaking in his first press conference since being appointed to the role, Frank commented on further incomings, saying: “There is no doubt that, if you want to compete in all tournaments, you need a competitive squad.
“There are a lot of competitive players in the squad already. The club is in the market and looking.
“What will happen, I will speak when a player comes into the building.”
Sky Sports to show 215 live Premier League games from next season
From next season, Sky Sports’ Premier League coverage will increase from 128 matches to at least 215 games exclusively live.
And 80 per cent of all televised Premier League games next season are on Sky Sports.
