West Ham had reportedly agreed a £15m fee with Liverpool for the 24-year-old striker on Tuesday but reports claimed that Newcastle were set to hijack the deal.
Newcastle manager Alan Pardew last week admitted he would be interested in signing Carroll "should he become available", but the club have now denied any interest in the England man.
Carroll played the final match of his season-long loan from Anfield in the Hammers' 4-2 Premier League win over Reading on Sunday.
His seven goals, including a late-season flurry, earned him a call-up to the latest England squad but the giant striker was forced to pull out with a heel injury.
The Hammers have made little secret of their hopes of securing the services of
the Gateshead-born frontman on a permanent basis and West Ham boss Sam Allardyce said keeping him at Upton Park was a priority.
Carroll moved to Liverpool from Newcastle in a £35million deal in January 2011, but struggled to make his mark on Merseyside scoring just six Premier League goals for the Reds in 44 games.
They sold Carroll barely a month after Pardew's arrival on Tyneside after Liverpool made them an offer they simply could not refuse, but the striker struggled to make an impact on Merseyside and Kenny Dalglish's untimely exit heralded a further downturn in his fortunes.
Pardew had no desire to let the player leave - indeed, he had repeatedly insisted he would be going nowhere until the Reds broke the bank to get their man - and whenever asked about a possible return, he has always indicated his willingness to see the 6'3" powerhouse back in a black and white shirt.
When it became obvious that his short-term future lay away from Anfield, Carroll was keen to return to familiar territory, but it was West Ham who eventually managed to reach agreement, with the Reds simply unwilling to deal with the club which had profited so substantially from their initial investment.