Inter and Diego Forlan have reportedly agreed to go their separate ways after crunch talks on Friday.
The Uruguayan international still had 12 months to run on his deal, but the decision has been taken to rescind terms.
Forlan joined the Beneamata last summer from Atletico Madrid as a replacement for Anzhi-bound Samuel Eto’o.
The former Manchester United and Villarreal man, however, struggled for goals with the Stadio Meazza outfit.
He scored just twice in 18 Serie A games, while he failed to net in the two Champions League appearances that he made.
Inter are looking to lower the average age and wage bill of their squad after failing to qualify for the Champions League.
The club last week cancelled the contract of Lucio who has since joined Juventus. They are also trying to rid themselves of Julio Cesar and Dejan Stankovic after they were not called up for pre-season training.
Forlan, 33, is now expected to join Brazilian side Internacional on a free transfer.