The former Chelsea boss has been out of work since leaving Anzhi Makhachkala in July 2013, and had been linked with the Spurs job after the sacking of Andre Villas-Boas, only for the 67-year-old to rule himself out of the running.
But now Hiddink will return to the job he held between 1994 and 1998, as he will begin his second stint as Holland boss after the World Cup.
"I am working with the KNVB [Dutch FA] to create a coaching team around me. We will need a few days or maybe a couple of weeks," he said. "It will be a great team. I will not be a free-wheeling coach. When I do something I want to do it as well as I can – otherwise I would not do it."
Hiddink joins an incredible list of managers that have taken charge of the Dutch national team in more than one stint, which includes the legendary Rinus Michels, Leo Beenhakker, Dick Advocaat and the departing Louis van Gaal - who could now be available for a move a to Spurs.
The former Barcelona, Ajax and Bayern Munich manager will leave his post after he takes his side to Brazil this summer, and the announcement of Hiddink's impending arrival would suggest that van Gaal could be poised to take another job - and Spurs will be at the front of the queue for his services.
Recent speculation has suggested that van Gaal is Tottenham chairman Daniel Levy's top choice to take the job, despite Tim Sherwood's admirable stint in charge so far. But Levy is believed to want a more experienced and proven manager, which has made van Gaal the favourite to take over at White Hart Lane this summer.
image: © Maarten Dirske