Whittaker has just a year left on his current contract at Ibrox and the utility players has recently been strongly linked with a move to Turkish side Bursaspor.
Agent Ken Anderson told the Evening Times: “Rangers tabled a new and improved offer to increase Steven’s contract beyond 2012.
“However, although they have upped the ante and the ground between us and them has closed it has still not closed enough and we have rejected that new offer.
“Rangers have not said if that will be their final offer to extend Steven’s current contract so we will have to wait and see on that.
“But as it stands I expect Steven to see out the remaining 12 months of his deal with them as it is clear Rangers value the player very highly.”