The Premier League now have the 26-year-old's registration and he is free to play at the JJB Stadium this weekend.
'We are delighted to welcome Jermain back to the club,' said Tottenham chairman Daniel Levy, who claimed the player was only allowed to leave White Heart Lane as Defoe wanted first team football and he was nearing the end of his contract.
'We had previously been keen for Jermain to sign a new contract to extend his initial stay but at that point in time he felt it was in his interests to move on in order to guarantee himself more starts,' Levy said.
'I know the club is close to his heart and that he is thrilled to be back and to once again link up with Harry.'
Manager Harry Redknapp has hinted he is ready to pair Defoe in attack with Roman Pavyluchenko.
'This is the third club I have signed him for because I know what a top-class player he is as well as a proven goalscorer,' Redknapp said.
'I am pleased to have him here and I am sure the supporters are looking forward to seeing him back in a Spurs shirt.'