The Reds announced the capture of the England Under-21 international, whose contract expires at Turf Moor on June 30, on Monday.
However, because of his age (22) the Clarets are entitled to financial recompense and have already rejected an opening offer of £4million.
Press Association Sport understands the two clubs are miles apart on their valuations as Burnley, influenced by a £12million bid lodged by Tottenham earlier this month despite being told by Ings' agent weeks ago he was not interested in moving to White Hart Lane, are believed to want around £10million.
Reports have suggested if the Professional Football Compensation Committee are asked to rule they could break their own record valuation which required Chelsea to pay £6.5million (£3.5million up front with add-ons based on appearances up to 40 and senior England recognition) when the then 20-year-old Daniel Sturridge, coincidentally now at Anfield, quit Manchester City after his contract expired in 2009.
However, each case is judged on its own merits and the fact that deal was between two top Premier League clubs, Sturridge was being offered substantial wages – an indicator of how highly the buying club valued him – and he had been with City since the age of eight were all factored into the fee.
Tottenham's reported bid for Ings has been viewed with some scepticism and previous history suggests it is unlikely to push up the transfer fee as, for example, Tom Ince's move from Blackpool to Hull saw the Seasiders reportedly reject an £8million bid in January for the 22-year-old and then be awarded £2million plus add-ons by a tribunal.
If the timescale of that case, which was finally settled in the January after the summer transfer window, was followed in the Ings example Burnley would have to wait until 2016 for any money – although they will already have benefited from a Premier League parachute payment of £24million with a further £40million to follow in the three subsequent years.
Talks are continuing between the two clubs and it seems a fee in the region of between £5million and £6million is the most likely outcome at this stage.